Tuesday, October 21, 2008

Saying goodbye to the wire - Newspapers drop AP subscriptions to cut costs

This article, published on the New York Times website, really caught my attention.

We've heard all the hoopla over the economic woes that newspapers are going through. But other than laying off staff, I haven't heard of many steps that papers were taking in order to survive the financial storm.

Apparently, dropping AP wire services from their publications is the new way to cut back on costs.

This brings one word to mind: desperation.

The Associated Press was created over 100 years ago, and it is the premier news service that shares stories, photographs, and videos with publications all over the world. They have over 13,500 clients.

The annual price for the service is large - the Star Tribune pays over $1 million a year, and the Columbus Dispatch over $800,000 a year. Larger newspapers pay more.

The Columbus Dispatch announced their decision to drop the AP service last week, but contracts can only be broken with a "two-year notice." So, they have a couple years to figure out how they will operate "post-AP."

Some newspapers are banding together to share articles with each other, while others are looking at Reuters or other news outlets to fulfill their news needs.

As I read this, I couldn't quite decide on my position. One one hand, AP service has become expensive, and I do want newspapers to live to see another day... even if they have to scrape by for a little bit while they wait out the storm.

But on the other hand, I truly, honestly believe that a publication couldn't survive as a global paper (maybe a local one, but not a full-service international one) without AP. The AP has writers in over 100 countries, taking pictures and covering stories that some small-town writer from America can't possibly cover.

The Associated Press is, in essence, a newspaper's access to the world. And newspapers are, in theory, the people's access to the world. See the problem?

Yes, I think some alternative news services could be established. But I doubt that any service will come close to the sheer number of reporters and photographers that the AP has on the ground right now.

So, the AP should do something about it. Cut costs. Give newspapers a break. Then maybe, they'll be helping newspapers survive while keeping the public tuned in to world events.

What do you all think? Is there a solution to this?

8 comments:

Mrs.prettyweather said...

I agree totally. I think that newspapers need the associated press. They help structure most of the exciting news. It is understandable that newspapers are going through a financial crisis and without well written news (AP) they will constantly decline.

April said...

I really liked your topic...o.O....O.o It seems familiar somehow...

I agree about the desperation. It's strange how it has come to staying in business or keeping AP. Newspapers and other publishings are heading on a long and bumpy road and I hope they pull through.

Good topic choice and it was a well written piece. Great job!

cannse3 said...

I also agree with you. I think that it is a shame that the Associated Press is being "treated" this way. They have done so much for the press, and media that a financial crisis should not touch them.And I also agree with you when you said that "desperation" describes this situation perfectly.

Shannon said...

It is a shame that newspapers have become so financially desperate that they would cancel their service with the Associated Press. Although, The article also says that the AP "delivers too little of what they need and — particularly galling to them — is sometimes acting as their competitor on the Internet." That statement really shocks me, if I was paying more than $800,000 on something, I would definitely try to get rid of something that no longer was serving it's purpose, even if it does take two years to get out of.

HA. Sounds like a bad cellphone contract!

Ramen Ninja said...
This comment has been removed by the author.
Ramen Ninja said...

These are desperate times indeed.

I do agree with your stance on how newspapers will operate without the networking suppport that newspaper services like
the AP can provide. There is just too much ground to cover on the international platform.

I am not sure what the solution will be, but I think that the efforts that are already being put into place by certain newspapers ( such as networking with other newspapers without the aid of the AP) are key.

I think newspapers are going to start realizing that this is going to become a community effort. If we want the newspaper
industry to stay alive, we need to work with each other in order to secure a future for the so called "dead-tree" media.

Anonymous said...

I think they need the AP but if they cannot afford it they cannot afford it. I wonder what happens now that some newspapers are not using the service. will the quality of their material go down?

c.nolan said...

I wrote on the same thing and like your point o veiw. I couldn't believe it when I read the article. I think the papers will find a way to survive. Like you said, they could just use Reuters for international events. Maybe if enough papers leave AP could lower their price.