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On Wednesday, without prior warning, Pacific Standard, an award-winning magazine that has done substantive journalism on environmental and social justice, announced its imminent closure. The Social Justice Foundation, a nonprofit backed by SAGE, an academic publisher, yanked its funding from Pacific Standard; the foundation will shutter, too.
Last year, the magazine scrapped its print edition, but in recent months, it had been staffing up. According to Nicholas Jackson, the editor in chief, the Social Justice Foundationās board just approved an ambitious, 10-year expansion plan he put forward. Jackson was blindsided when he learned, on Monday, that his magazine would be dead within two weeks. The sudden decision, he told The Daily Beastās Lloyd Grove, was āunethicalā and possibly even illegal.
ICYMI:Ā NPR cut me off after Tucker Carlson criticized my tweet
Pacific Standardās situation is strangeāand extremely abruptābut it fits a clear, broader trend; as Grove writes, āIn todayās Darwinian media environment, newspapers, magazines and online publications seem to be biting the dust every weekāa depressing new normal.ā Pacific Standard wasnāt even the only publication to announce its closure on Wednesday. The same day, Governing magazine, which focuses on state and local government, said it will cease operations in the fall. Despite recent investment, Governing proved āunsustainable as a business in todayās media environment,ā management said. J. Brian Charles, an investigative reporter, recently left his job at Governingāand just last month, he joined Pacific Standard. āI feel like the Angel of Death,ā he told Grove.
Itās not just individual magazines that are struggling: giants are feeling the pinch, too. On Monday, both Gannett and GateHouse, the biggest publishers in the country by circulation, reported deep revenue losses; the same day, the two companies announced that they will merge in a deal financed by private equity (at eye-watering interest rates). Gannett and GateHouse executives are betting that massive scaleāthe combined entity will publish one in six of Americaās local newspapersācan keep them in the black, at least for a few more years. Investors donāt seem so sure: as the New York Postās Josh Kosman and Keith J. Kelly note, shares in New Media Investment Group, GateHouseās parent company, tanked after the merger announcement. Next week, executives will meet financiers in person to try and assuage their doubts. No matter what, job cuts seem certain.
Increasingly, the digital media landscape feels bifurcated. A small number of media companies are surviving or even thriving; those tend to have established brands with loyal readers who are prepared to hand over their money. (This week, The Guardian and The New York Times both reported growth in digital revenue; The Guardian, which previously suffered years of heavy losses, is a notable success story.) But everyone else is feeding off the scraps. The closure of Pacific Standard, in particular, is a chastening reminder that even deep-pocketed donorsātouted, so often, as the industryās saving graceācan cut good publications down at a momentās notice. And some big-name papers are struggling to maintain and grow their paying audiences: the LA Times, which has expanded impressively under Patrick Soon-Shiong, told staff last week that digital subscription growth is way under target. (Still, it was noted, hitting the target wouldnāt cover editorial costs.)
With ad revenue plunging and subscriber revenue, in most places, not replacing it, many media companies have become reliant on revenue streams further from their control. Social media has been one. Yesterday brought important news in that regard: The Wall Street Journalās Benjamin Mullin and Sahil Patel reported that Facebook has held talks with news executives about paying to license previews of news content in its app. Some industry leadersāJonah Peretti, CEO of BuzzFeed, for instanceāwelcomed the development. So far, however, it appears that Facebook has only held talks with big, profitable publishers who need the money less than poorer rivals.
And as many commentators quickly pointed out, Facebook has a track record of hooking news outletsāfor example, by prioritizing videoāonly to fry them with a unilateral change of approach. As Deadspinās Barry Petchesky tweeted of Facebookās latest offer, āMorons who run digital media, I beg of you: Please donāt fall for this for the 18th time.ā
Below, more on the media industry hellscape:
- Just merge already: The impending merger between CBS and Viacom could have profound consequences for media companies: Vice reportedly wants in, and other digital publishers, including BuzzFeed, could also become targets of a combined company. Some analysts thought the merger would be announced yesterday, as CBS and Viacom announced their second-quarter earnings. But still, we wait.
- Facebook and Apple: Facebookās moves to add a news tab to its app are a clear response to Apple News. Facebook is hoping to entice publishers such as the Times, which balked at Appleās terms: Apple drags publishersā content into its app and takes half the revenue; Facebook is proposing to link out to news outletsā own sites. Digidayās Lucinda Southern reports that cooperation with Apple News is paying off, at least for some news organizations: Vice Media and The Stylist Group, among others, say theyāve seen spikes in traffic and revenue since March, when the app was upgraded.
- Old Gannett and New Gannett: Ahead of the GateHouse-Gannett announcement, Poynterās Rick Edmonds was among the observers to predict that GateHouse and its owner, New Media Investment Group, would blow away the existing leadership of Gannett once a deal goes through. Now Edmonds is revising that prediction: it appears that two of the merged companyās top three executives will come from the old Gannett.
- Itās audio, too: On Wednesday, Entercom, one of Americaās largest traditional radio companies, purchased two podcast companies: Cadence13 and Pineapple Street Media. Entercomās acquisition of Cadence13 wasnāt much of a surprise, but the Pineapple Street deal āmight turn some heads,ā Nieman Labās Nicholas Quah writes. What does it mean for the industry? āThe podcast space is in the midst of a plodding consolidation period, and this is just further evidence of that.ā
Other notable stories:
- On Wednesday, President Trump visited Dayton, Ohio, and El Paso, Texas, in the wake of the mass shootings in those cities. Aides barred the media from the hospitals Trump visited; they said the trip was not a photo op, but, per Maggie Haberman, of the Times, the real goal was to keep Trump on message and make āas little news as possible.ā So much for that: Trump made headlines during the visits as he tweeted broadsides at his critics; yesterday, the bad press continued. El Pasoās CBS affiliate broadcast a video, taken on a cell phone, of Trump inside a hospital there; as he met with staff, he bragged about his past crowds in the city, and joked about ācrazyā Beto OāRourke and the media.
- For CJRās podcast, The Kicker, Kyle Pope, our editor and publisher, spoke with John Temple, who was the editor of the Rocky Mountain News during the Columbine shooting, in 1999. This week, an essay Temple wrote for The Atlantic, about āthe limits of journalismā in stopping gun violence, attracted widespread attention. āWe were incessant for yearsāwe were doing investigations related to Columbine, and to what was known and what could have been done,ā Temple said. āNot much changed as a result.ā
- The Iowa State Fair opened yesterday. The Washington Postās Paul Waldman writes that the procession of presidential candidates through the fairā24 are expected to attend this yearārepresents āeverything thatās wrongā with the presidential race and press coverage of it. āThe mediaās search for candidate authenticity through appropriate consumption of local downscale food favorites is an old story,ā he writes. āBut itās one that tells us precisely nothing about what kind of person that candidate is, let alone what sort of president theyād be.ā
- Ana Marie Cox, CJRās public editor for the Post, argues that the paperās high-profile fact checker column is an exercise in futility. āTrump supporters somewhat justifiably complain that itās a Trump-specific project overly concerned with the most minute and obscure presidential utterances; they think it unfairly exaggerates petty puffery,ā Cox writes. āI agree, and I also think that it dangerously minimizes the damage of Trumpās misrepresentations regarding policy.ā
- Monsantoāthe agrochemical giant accused of hiding health risks linked to a widely used herbicideāmonitored journalists and activists who criticized the company in order to discredit their work. According to The Guardianās Sam Levin, Monsanto kept a spreadsheet listing more than 20 lines of attack against Carey Gillam, a Reuters reporter who wrote a book about the companyās weedkiller; staffers coordinated negative reviews of Gillamās work, paid Google to promote them, and pressured Reuters to reassign her.
- In recent weeks, Jonathan Weisman, an editor at the Times, has drawn criticism for his tweets about Democratic politicians of color. The author Roxane Gay was among those to criticize Weisman, who subsequently emailed Gay, her assistant, and her publisher requesting an āenormous apology.ā Now Weisman seems to be on thin iceāthe Times told Yashar Ali that Weisman āhas repeatedly displayed poor judgment on social mediaā and that bosses are āclosely examining what to do about it.ā
- For CJRās series on criticism, Kim Kelly, a freelance music journalist, reflects on NPRās decision to stop working with her after Tucker Carlson condemned her political tweets on his Fox News show. NPR told Kelly that her āactivist stanceā was in conflict with its standards. But āarts criticism comes from the heart and the gut; cutting out the human partsāour opinionsāleaves the whole thing bloodless,ā Kelly writes. āI could never separate the personal from the political, nor do I have the luxury of pretending I can.ā
- In June, censors in China blocked The Intercept and other news sites. Now The Intercept is launching an app for Android and Windows that will allow readers in China to bypass the countryās āGreat Firewall.ā
- And Twitter blocked an account linked to Mitch McConnell, the Senate majority leader, after it posted violent threats against⦠Mitch McConnell. Viceās David Uberti has more.
ICYMI:Ā Right-wing publications launder an anti-journalist smear campaign
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