11 May 2009
He was quoted by Fairfax competitor SMH: "There is no doubt that the traditional newspaper model has to change... classified revenues are undoubtedly migrating to the web, probably not to return."
The reason classified revenue is migrating to the web is because that is where the audience prefers to read your newspapers Mr. Murdoch. And why the web? Ummmm... maybe because it is a very accessible source... Part of its accessible allure is that internet news is free!
Murdoch is further quoted by SMH as using the success of The Wall Street Journal as reasoning that charging a 'subscription' for online content could work.
"That it is possible to charge for content on the web is obvious from the Journal's experience...," says the News Limited dynamo.
He is obviously not as stupid as he sounds, but Mr. Murdoch must surely be aware that the content of The Wall Street Journal, and even Australia's Crikey.com.au for that matter, is very different from the diatribe in his newspaper offerings like The Daily Telegraph and the Herald Sun.
The Journal and Crikey offer original content - essays and commentary that is different to 'this happened and this was said' news.
If Murdoch goes down this path, he will most definitely add this online investment to News Limited's 'failed' list. It will be met with opposition from internet enthusiasts, while his competitors over at Fairfax will become the ultimate beneficiaries.