New Technologies, Media Industry Changes, and Implications for Journalism/Media Education

1. New Technologies, Media Industry Changes, and Implications for Journalism/Media Education Clement Y. K. So School of Journalism & Communication Chinese University of Hong Kong Salzburg Global Seminar, 30 July – 2 August, 2010

2. Presentation Outline • Technological changes • Media industry and social changes • What the US and European media have been doing: lessons learned from 2 study trips • Journalists as knowledge workers • Implications for journalism/media education

3. Technological Changes

4. Technological Changes • Rise of new media technologies: Wi-Fi (1985), WWW (1989), Yahoo! (1994), IE (1995), online news (1995), HD TV (1996), Google (1997), Blog (1997), Facebook (2004), YouTube (2005), Twitter (2006), iPhone (2007), Internet users (1.67 billion in June 2009), iPad (2010)…

5. Technological Changes • Society is technologically driven or “interactive technology”, not “determined technology” • Rise of new media formats: • newspaper  free dailies, online news • TV  cable, webcast, podcast • Media convergence: breaking media and geographical boundaries, increasing competitions

6. Technological Changes

7. Media Industry and Social Changes

8. Social Changes • Changes in people’s lifestyle • Other non-media activities compete with media for people’s time and attention • Different taste strata • Youngsters have different media habits

9. Media Economic Crisis • 2008-09, global financial crisis hit all fields, including journalism • In 2009, New York Times laid off journalists, cut salaries, sold part of its building, 1 billion in debt, print sales below 1 million but had over 20 million free Web subscribers • Many US newspapers folded • Similar situations all over the world

10. What the US media Have Been Doing

11. Visiting US News Media • In May 2008, a JEF delegation of Hong Kong journalists visited New York and Washington, D.C. for 2 weeks • News media visited: AM New York, ABC News, NBC News, Fox News, American Press Institute, College of Journalism at U of Maryland…

12. Multimedia Operation • A TV station has morning news, entertainment programs, evening news, free news website • If there is an exclusive news, where and when to air? • How to manage them under one umbrella? • Needs a “news portfolio manager” to coordinate and balance, with knowledge of different media and understanding of company’s basic interests • “Break down the silos”

13. NBC News • NBC’s Today Show: 4 hours daily, 7-11am, news + information + entertainment • Unified news team  different platforms (evening news, Web, cable, blog) • Again: “Break down the silos”

14. ABC News • 1-person correspondent in overseas stations • Digital reporter • Establish digital platforms to increase revenue

15. Fox News • Use a lot of graphics • Presenters talk to (not down to) audience, not relying on celebrity anchors

16. Free Newspaper: AM New York • Strategy: care about the neighborhood events • “Connect to people in gut-level”

17. American Press Institute (API) • Specialized in training print journalists • “Newspaper Next 2.0” program to help newspapers survive • Expand from print, include other formats

18. American Press Institute (API) • Mobile Journalist: “Mojo” • Journalists are not elites, but have to “breath with the audience” • News and information: must be useful and relevant to readers

19. Philip Merrill College of Journalism, U of Maryland • Journalism isno longer “one size fits all” • Rise of citizen journalism (cf. traditional journalists)

20. Philip Merrill College of Journalism, U of Maryland • Impact of new technologies: • Online journalism (Journalism 2.0) • Breakdown of boundaries • Multimedia operations • Multimedia transmission • “Mojo” courses (different ways to express oneself)

21. Philip Merrill College of Journalism, U of Maryland • What is “good journalism”? • Let users’ customize news products • Let users participate in the process • Use of multimedia • Information has width and depth • With brand name effect • Guaranteed source of income

22. Philip Merrill College of Journalism, U of Maryland • News media must: • Become “part of the mix” • Has credibility • Has creativity (multiple perspectives and interactive) • Print media: explain • Multimedia: show • Interactive media: demonstrate, link • Link up with readers

23. Philip Merrill College of Journalism, U of Maryland • Content: • Web 2.0 • New reporting methods • How to blog • How to report news for the Web • Digital audio and podcasting

24. Philip Merrill College of Journalism, U of Maryland • Content: • Shooting and managing digital photos • Shooting video for news & features stories • Basic video editing • Writing scripts, doing voice-overs • Putting it all together

25. The State of the News Media • Started from 2004, yearly report, available on the Web • Published by Project for Excellence in Journalism • Methods: • Content analysis (70,737 news items) • Journalist survey (N = 585)

26. Findings: General • American news industry was worse and more complicated • Major problems: • Separation of advertising and news • News on the Web cannot find advertisers

27. Findings: Newspapers • Lose advertising (7% drop per year) and readers (2.5% drop per year) • Cut back on work force, outsourcing • “I’m past bleeding, we’re into amputation now”

28. Findings:News Websites • Have more viewers • Good use of technologies • But does not have good business /revenue model • Major strategies: assimilation, acquisition, partnership

29. Findings: TV • Network TV still stable in viewers, but slight decline in advertising • Form Web partnership with others • Reduced staff: 1-person station • Cable TV on the rise, but not its impact in major news

30. Findings: Radio • Multiple listening platforms (AM, FM, satellite, HD, Internet, MP3, podcasting, mobile phone) • Segmented listeners, diversified programs • Put more resources on the Web, establish social networks and on-demand news

31. Special Report: “The Changing Newspaper Newsroom” • Reduced manpower and news • New recruits have to have multiple talents, eagerness, know technology • Newspaper websites: source of hope and also source of fear (declining news quality)

32. Implications for JLM Education • Rise of new media / digital reporter  students need technological literacy and sophistication • Media convergence  do not limit oneself to 1 or 2 media formats • Empowered audience  understand changing roles of reporter, not elite, breath with audience

33. Implications for JLM Education • Social changes  know the society and audience, connect to people, diversified needs • Rise of citizen journalism  know and use the social media • Financial crisis  need economics and finance knowledge

34. Implications for JLM Education • Break down the silos  ability to become multimedia, work in a team • 1-person correspondent  do it all by oneself, need multi-skills, be a “mojo” • “Multiple” as keyword: media, skill, operation, transmission, audience • “Newspaper Next 2.0”  be part of the future (journalist 2.0 / 3.0)

35. What the European media Have Been Doing: Print

36. Visiting European News Media • Another delegation went to 4 cities in Europe, May 15-28, 2010 • Visited a number of news media organizations and international agencies

37. News Media Visited Newspapers： • Axel Springer • Der Spiegel • Frankfurter Allgemeine Zeitung • Dow Jones / Wall Street Journal • Financial Times TV： • Deutsche Welle TV (DW-TV) • Sky News • BBC: Persian Service, BBC Future Media

38. Axel Springer • One of Europe’s major newspaper groups, has more than 250 publications in 30 countries • In Germany, has a newspaper market share of 24%, including Die Welt and the tabloid Bild • Face different types of readers, with both serious and sensational contents

39. Axel Springer • Die Welt group has 6 newspapers • In the past, 6 separate editorial and marketing units, now become 1 • Matrix organization: synergy operations under same umbrella: for better efficiency and competitiveness • Reporter: “write one story for all” • Future directions: mobile media, digitized content, Internet development

40. Der Spiegel • Der Speigel has 1 million circulation in Europe • Ownership model: staff has 50.5%, the rest belongs to 2 companies • Joining staff will get shares according to rank and year of service, sell it back to company when leaving • Senior staff are appointed through election

41. Der Spiegel • Success formula: revenue mainly through subscription (60%)，few web readers, but will have paid iPad version • Never has financial loss, has to avoid it (otherwise the staff will be responsible) • With 100+ editors and reporters, but another 60 full-time “fact checkers” • Publishes lots of investigative reporting, has to keep the information accurate

42. Frankfurter Allgemeine Zeitung • A national newspaper in Germany, distributed in more than 100 countries • 280 news staff, daily circulation = 370,000 copies • Has 85 local and overseas correspondents, making contents more varied and unique (3 in Beijing) • No owner or chief editor, owned by a foundation • Run by 5 independent “publishers” • New publisher to be appointed by existing ones collectively

43. Frankfurter Allgemeine Zeitung • Social news page has its publisher and commentary, so does the finance page • Commentaries may contradict each other • Advantage: diversity, internal competition • High-end product, can still make profit, survivable in a large enough segmented market • Facing new technology and market changes

44. Dow Jones / Wall Street Journal • Dow Jones is an American financial service with global presence, including the Wall Street Journal • 3 parts: newswire, website, newspaper • Designed to maximize resources, contents in different parts partially overlap but not totally • Top of“pyramid”: provide instant financial information to a few customers at very high premium prices (“freshness” of information)

45. Dow Jones / Wall Street Journal • Arrangement of work flow is based on speed (as life line) • Different time of delivery: huge difference in pricing • Premium clients: in milli-seconds (only 0.2 second delay is tolerated) • Established incentive system: reporters’ number of exclusive stories shown to all

46. Financial Times • Financial Times is a British international finance newspaper, major competitor of Wall Street Journal • Focus: global presence, fee-charging model, premium products • To employ the best people, to produce first-rate content in order to generate revenue • Integrated newsroom and marketing department

47. Financial Times • Multiple platforms/outlets: newspaper, website, iPad, Kindle, etc. • Try to have a new model for information distribution and revenue generation • “iPad is a game changer” • Reading traditional newspaper: “lean back” experience; Web reading: “lean forward” • Historical task: slowly move from print to Web platform

48. Implications for JLM Education • “One story for all” ability to meet different tastes and demands • Fact checkers  be as accurate as can be, professionalism • Different ownership and operation systems  adaptive power

49. Implications for JLM Education • “Pyramid” structure and emphasis on speed  know one’s priority and ability to deliver on time • Employ the best people  having quality, be the best professional • “Lean forward” experience  be progressive, forward looking, global vision

50. What the European media Have Been Doing: TV