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News International confirms banning NewsNow crawlers from linking

Rupert Murdoch, Chairman and Chief Executive O...

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Following on from my earlier post that The Times Online had barred aggregator NewsNow.co.uk from crawling its website, it seems News International as a whole has the bit firmly between its teeth and has also banned the linking service from crawling any of its newspaper sites including including The Sun Online and the News of the World.

The Guardian reported News International as saying:

“We’ve been in communication with NewsNow for several months. We asked them to remove our content repeatedly from their indexing,” said a News International spokesperson. “Now, we will update our files accordingly for all our titles.”

“NewsNow has been using Times Online content as part of its paid-for, commercial as well as free services. They have continued to do so despite our direct requests for them to stop. As a result, we have taken the decision to disallow their indexing of our content,” the company said in a statement.

“News International makes a significant investment in journalism and we believe that it is entirely appropriate for us to ask that our rights are respected. NewsNow has acknowledged that they require our permission to use our content and, in the absence of our permission, has ceased to do so.

News International owner Rupert Murdoch and other media organisations, including UK newspapers and the Associated Press (AP), accuse NewsNow and other news aggregators such as Google and Microsoft, of being parasites and insist they should pay for access to news content. While Google quietly stopped indexing AP news shortly before Christmas, the News International action represents the first live bullets in what is destined to be a significant battle over the right to link and the basic building blocks of the Internet‘s interconnected world.

For the moment NewsNow seems to have been singled out. From where I sit, I wonder whether the relatively small UK-based operation represents a soft target for a posturing Mr Murdoch as he tries to find ways to bolster declining circulation and revenues at his major titles?

The really big target would be Google, but here the trade off between losing the opportunity to monetise traffic driven by the search giant while trying to unilaterally build online revenue from brand loyal readers sounds a little trickier. Is this a case of wanting it both ways, or will Murdoch eventually put his money where his mouth is and try and hold back the tide of internet traffic by hitting the big boys?

Come on chaps, play the game. The financial woes afflicting newspapers and their general inability to generate meaningful online revenues are not the fault of third party aggregators, who afterall, are driving traffic to their websites. The challenge here is to adapt and develop new business models that can thrive in a new digital world. Yes, it is not cheap to produce original news, but unfortunately it is not a rare commodity. Newspapers needs to find ways to engage with ther communities, not cast themselves adrift.

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NewsNow blocked by The Times, faces new restrictions in right to link

The battle of the aggregators and news providers deepened today, with UK service NewsNow.co.uk saying News International had barred it from being able to link to any content on Times Online.

The increasingly bitter confrontation over the right to link to freely available news content threatens to set precedents that fly in the face of the natural development of the Internet and the the World Wide Web where growth thrives on the easy exchange of information in an increasingly connected world.

News International owner Rupert Murdoch has had a real beef with news aggregators — including Google and Microsoft. They are, he says, parasites that steal premium content beyond what would be governed by fair use. NewsNow has been facing a concerted action from the major UK newspapers that want to stop commercial content aggregators linking to their news. Against this back drop are tumbling print newspaper revenues and titles struggling to monetise their content online.

Struan Bartlett, Managing Director and Chairman of NewsNow says his service has been singled out

“It is lamentable that News International has chosen to request we stop linking to their content and providing in-bound traffic and potential subscribers to the Times Online and right now it looks as though NewsNow has been singled out.

We note that no other major search engine has been blocked by NI in this manner. NewsNow is not fundamentally different to other news search engines that are part of the Internet infrastructure, such as Google News and Yahoo. Why block us and not them?”

At the end of last year, the UK national newspaper copyright body the Newspaper Licensing Agency (NLA), imposed a scheme that introduced the requirement to obtain permission and pay fees to circulate links to freely available web pages. The scheme has been referred to the Copyright Tribunal. NewsNow stopped offering links to UK newspapers as part of its premium subscription services, but continued to offer links in its free services.

My view is clear on this issue. Yes, online revenue comes from having content, but also, most importantly, generating as much traffic as possible. To use a simple analogy, if a road is blocked off traffic does not drive down to have a look, but instead seeks an alternate route to get to its destination. If newspapers are struggling to build online models that deliver healthly dollops of cash from general news content, the one thing they must do is look for ways to monetise traffic.

For the cynics among you, here is The Times online singing the praises of NewsNow in 2006.

NewsNow is also behind the Right2Link campaign.

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Associated Press lays off news staff as cost cutting hits home

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The Associated Press has laid off “dozens” of news staff as part of the agency‘s bid to reduce staffing costs by 10% this year.

The moves come as the 163-year-old cooperative wire agency has grappled with falling revenues, mutiny from its members and well-publicised battles against search engines and aggregators that it accuses of making money off the back of its services.

While US news media was buzzing yesterday as first word of the cuts began to filter out, the AP — which prides itself on fast breaking news — was itself uncharacteristically slow in reporting what was happening.

When it eventually came, the AP story didn’t say how many staff were being laid off, but the News Media Guild, which represents around 1,300 employees in the US, said as of Tuesday evening 38 Guild-covered reporters, editors and photographers had been told they were no longer required. It dubbed the day “Black Tuesday”.

AP said its cost cutting goal was set late last year as it prepared to lower fees for newspapers and broadcasters that had been hit by recession and the shift of advertising to the Internet.

The AP story said:

AP’s revenue is expected to fall about 6 percent this year to roughly $700 million.

Hoping to minimize layoffs, the AP imposed a hiring freeze late last year and offered early retirement packages to longtime employees over the summer. About 100 opted for those packages.

It’s been a tough year for the news business in the United States. Newspaper circulation across the country plunged by an average 10.6% in the six months to 30 September, while earlier this month the struggling Chicago Tribune, Los Angeles Times and other Tribune Co newspapers planned to do an AP cold turkey for a week as part of a test to see if all ties with the news agency can be severed next year.

The AP has promised members rate reductions averaging around 20%, but with its content perceived to be increasingly less relevant and the costs for the service harder to sustain, many question what the future holds for the news agency.

AP supremeo Tom Curley has been aggressively fighting (alongside Rupert Murdoch) giant news search services such as Google and Microsoft saying they should be made to pay for AP content. Curley says sites such as Google have reaped a fortune off AP articles, photos and video without paying fair compensation.

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Google pushes Gone Google campaign to hit Microsoft

Google has launched the next phase of its “Gone Google” ad campaign in the UK and five other territories as part of its bid to grab business away from Microsoft.

More can be read about this on paidContent:UK

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AP targets slower news but will it shoot itself in the foot?

AP Associated Press LogoIn a Twitter age when real time means (almost) exactly that, the comments from Associated Press supremo Tom Curley that the agency was considering offering news stories exclusively to some online customers for a short period seems to fly in the face of common sense and exhibit a lack of awareness about online news trends.

In remarks made at the Foreign Correspondents Club in Hong Kong this week, Curley said deepening competition between Google and Microsoft presented content providers with a golden opportunity to cash in as the two internet giants competed to grab every bigger online audience shares.

The AP licenses its content to many online services — including Google, Yahoo! and Microsoft’s MSN — as well as providing content to websites belonging to newspaper and broadcast clients worldwide. The AP, in its coverage of the  comments, said Curley echoed the complaints of many news companies that say sites such as Google have reaped a fortune off their articles, photos and video without paying fair compensation.

All AP clients currently get breaking news delivered at the same time, but these ideas would end that. As an ex-agency (Reuters)  correspondent I’m deeply concerned by these developments on two counts:

  1. The AP will break very few exclusives of earth shattering importance and will therefore find itself behind the news pack, thus undermining its value to clients and readers (shoot in foot syndrome?);
  2. Traditionally, every news organisation wants to be fast and first with breaking news. As news vendors struggle to compete with Twitter and citizen journalists, this seems to be a mercenary attempt to control news output and is doomed to fail (although it may raise a little extra revenue).

To be fair, Curley did not say just how such a service would work, or what kind of premium could be charged, but he did suggest offering “exclusivity” for as little as 20 or 30 minutes. My fear is that this could be the first step in trying to sell rights to news in much the same way that rights are so strictly controlled to major sporting events. The difference here is that this can’t work.

We know that relations between Google and the AP have been deteriorating for a while now. Back in April, Curley indicated that talks between the two over content usage rights weren’t going well again, and threatened to pull the plug on the AP feed to Google.

Come on Tom Curley, think again. The challenge to build online revenues needs creative solutions, not something that ultimately devalues the core product — your news.

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