The Economics of Business Insider

Felix Salmon reveals the stark truths about Henry Blodget’s online news machine:

[T]here’s reason to be concerned about what Blodget’s team has sacrificed along the way. It’s worth noting that venture-backed media companies can very much be in a race against time for growth. Investors want a return on their money and, given the economics of web news, that almost always requires exponential growth in uniques and pageviews.

See also Marco Arment’s analysis of Business Insider’s copy-and-pasting of his material.

Update: And Business Insider responds to Arment (with aplomb)!

The Body of Your Enemy

TechCrunch’s continuing disaster spilled over onto the site again this weekend, as columnist Paul Carr decided to engage in some scorched earth tactics on his way out the door (see TechCrunch editor Schonfield’s response).

Rex Hammock pointed me to this post by David Winer, which tells a story that really resonates with me:

When competitors make public and personal accusations, how are you going to respond, when customers are watching? It’s a very low-road way to compete. Not much you can but weather the storm, keep offering the best service you can, figuring the smart customers will ignore the personal stuff.

Anyway, there’s an ancient Chinese proverb that goes something like this. “If you sit by the river long enough, you will see the body of your enemy float by.” It works! As your competitors rise, eventually they have done to them what they did to you, and if you sit there a while, you don’t have to do a thing — nature takes care of it.

For TechCrunch, This Is How It Ends

The Guardian chronicles the latest chapter in the Crunchgate fiasco, in which a startup that Arrington invested in won TechCrunch Disrupt:

The whole episode marks a giant loss in credibility for TechCrunch, a mangled, undignified departure, unprofessional personal scraps between colleagues and a decidedly fetid atmosphere around what has generally been a vibrant, inspiring and powerful brand. Ultimately, whatever the future of the writers and investors involved, this is a real shame for the entrepreneurs who’ve worked extremely hard to get this far.

Journalist Johann Hari Apologizes for Misrepresenting Interviews

I was actually an admirer of the works of Johann Hari before I read his mea culpa today in the Independent:

When I recorded and typed up any conversation, I found something odd: points that sounded perfectly clear when you heard them being spoken often don’t translate to the page. They can be quite confusing and unclear. When this happened, if the interviewee had made a similar point in their writing (or, much more rarely, when they were speaking to somebody else), I would use those words instead. At the time, I justified this to myself by saying I was giving the clearest possible representation of what the interviewee thought, in their most considered and clear words.But I was wrong.

I didn’t have much background into the situation, but Jeff Bercovici provides it, along with some stinging commentary:

No, Johann, it’s arrogant and stupid of you to think anyone you’re not related to by blood is going to buy this. Journalism is filled with people who rose fast and/or received not formal training. Most of us (I’m in the latter category) never had to be told you can’t steal quotes. You’re smarter than most. You knew this. Until you admit it, you’ll never have a chance of regaining your credibility.

Less Money, Mo’ Problems

The past few weeks have been incredibly hectic for me, so I’m only now catching up on news items that were relevant weeks ago. I was struck by Paul Carr’s recent piece about Jack Schafer’s firing from Slate. I’ve previously written at length about the economics of online publishing. The TL;DR version of that article is that making money online is extraordinarily difficult. Paul Carr agrees:

The blunt truth is, online advertising is a numbers game. And, even on niche sites, the number of salable page impressions required to even break even is huge. There are just too many pages of content being produced for advertising to remain a viable long-term business model. The New York Times can’t make money online, the Guardian can’t, Slate can’t and Salon barely can.

If the people at Slate can’t make the numbers work, what chance do the online film/entertainment blogs have?

The Power of a Photograph

The above photograph was published on a front page story in The New York Times on August 2nd, 2011. It is shocking, and it stirs the soul in ways that words most likely could not. Salon breaks down why the newspaper decided to run it, and whether it will have any impact on the debate (or lack thereof) over the situation in Somalia:

The graphic quality of Hicks’ photo certainly matches the stark portrait painted by Gettleman’s reporting. And executive editor Bill Keller told Salon that the choice to feature the image so prominently was uncontroversial in the Times newsroom: “We’d already decided to front Jeffrey’s powerful story, and it would have felt like journalistic malfeasance not to include Tyler’s powerful photography,” he said. “I know many readers found the picture disturbing. That’s good. The deaths of thousands of Somali children ought to disturb us, at least.”