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Feds Prepare Inquiry Into Endangered News Business (Dinosaur Media DeathWatchâ„¢)
The Wrap ^ | July 31, 2009 | Ira Teinowitz

Posted on 08/04/2009 6:04:24 PM PDT by abb

The federal government is preparing an inquiry into the endangered field of news and reporting -- and Federal Trade Commission Chairman Jon Leibowitz is dropping some broad hints about what will be in it.

In an exclusive interview with TheWrap, Leibowitz expressed some sympathy to easing antitrust enforcement of media consolidations to prevent more newspapers from folding or further declines in TV news staffs.

He also said the FTC intends not just throw out a lifeline. He wants to ensure that media companies are doing a good enough job finding alternative revenues.

Some media critics contend that at least part of the current woes affecting journalism reflect heavy-handed cutbacks and management failures to pitch new readers or charge for websites.

Currently anti-trust laws forbid a single company in a city buying the local daily newspaper, local TV stations and the local cable provider and then using that monopoly to set high ad rates. However, some broadcasters and newspaper companies are arguing that only the administrative efficiencies gained through joint ownership can preserve news coverage.

“We are strong believers in the antitrust laws and in opposing exemptions from the antitrust laws,” Leibowitz told TheWrap, “but when you think about other values, and you think about the First Amendment, this might be one of those rare industries where you must think about ways to ensure the vibrancy of news.”

People in a democracy, he said, “need to be informed, and sources of news are enormously important. I think as we all know, [those sources] are incredibly embattled.”

He said, however, that the FTC examination will be “much, much broader” than simply whether an antitrust exemption is needed. The agency will look into other reasons for the current problems.

“We are going to have economists and journalists and bloggers and people from different parts of the news media, and we are going to think through [what is occurring] and what the future will look like and whether that future -- which might be a handful of newspapers and [TV] networks that don’t have nearly as much reach as they once did and 5 million bloggers -- is a good thing for American democracy,” he said.

The FTC first announced plans to do a study of “Can News Survive the Internet age” in May, but Leibowitz’s comments to TheWrap are the most extensive yet on the details. He said the original plan for a September workshop had been replaced with one for a series of sessions, starting in December.

Leibowitz said the FTC’s focus is to develop a deep understanding of what is taking place and then make recommendations to policy makers.

“We are going to invite a lot of smart people on different sides of this issue to educate us,” he said. “This is a really important public policy issue, and we think we can add, as we have in a lot of other areas, an objective voice that can point industry or lawmakers in the right direction.”

Leibowitz cautioned, however, that the agency is unlikely to come up with quick fixes.

“I don’t think we are anywhere near recommending changes in the law. We certainly can’t effectuate them ourselves,” he said. “What we are trying to do is look at this issue and quantify the nature of the problem and to help policy makers think through what if anything they may do going forward.


TOPICS: Business/Economy; Extended News; Government; News/Current Events
KEYWORDS: advertising; dbm; ftc; governmentmedia
The Official State-Run Media about to be born.
1 posted on 08/04/2009 6:04:24 PM PDT by abb
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To: abb

ABB I thought it was CNN


2 posted on 08/04/2009 6:13:43 PM PDT by SevenofNine ("We are Freepers, all your media belong to us, resistence is futile")
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To: abb
He wants to ensure that media companies are doing a good enough job finding alternative revenues.

What the heck business is it of the government's to "ensure" that some business is doing a "good enough job" of finding "alternative revenues." This story really gets my blood boiling.

3 posted on 08/04/2009 6:14:35 PM PDT by ProtectOurFreedom
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To: abb

http://www.thewrap.com/article/ftc-chief-jon-leibowitz-grilled_4800
FTC Chief Leibowitz and the News

http://goldderby.latimes.com/awards_goldderby/2009/08/tv-showrunners-blast-timeshift-emmys-play-defense.html
TV show runners blast ‘time-shift’; Emmys play defense


4 posted on 08/04/2009 6:16:45 PM PDT by abb ("What ISN'T in the news is often more important than what IS." Ed Biersmith, 1942 -)
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To: 04-Bravo; aimhigh; andyandval; Arizona Carolyn; backhoe; Bahbah; bert; bilhosty; Caipirabob; ...

ping


5 posted on 08/04/2009 6:18:15 PM PDT by abb ("What ISN'T in the news is often more important than what IS." Ed Biersmith, 1942 -)
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To: abb

Hey, the Obama admin has already taken over the Alphabet networks. You OWN them.

Fox news has the ratings.

Please don’t save the VIEW !


6 posted on 08/04/2009 6:18:18 PM PDT by 4Speed
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To: abb
The federal government is preparing an inquiry into the endangered field of news and reporting...

Too late, real news and reporting is just about dead. By traditional journalistic standards, Fox is ok, by today's standards they are stellar. The rest of the MSM has committed suicide with the biased blade.

7 posted on 08/04/2009 6:31:42 PM PDT by ThunderSleeps (obama - bad for America)
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To: abb

pravda.


8 posted on 08/04/2009 7:10:42 PM PDT by ken21 (i am not voting for a rino-progressive.)
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To: abb

“ and what the future will look like and whether that future — which might be a handful of newspapers and [TV] networks that don’t have nearly as much reach as they once did and 5 million bloggers — is a good thing for American democracy,” he said.”

State run media indeed. What ever happened to that quaint thing we used to call the -free market-?


9 posted on 08/04/2009 7:59:50 PM PDT by Clay Moore (Obama: A good example of why stupid people shouldn't vote.)
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To: Clay Moore
The combination of "we want the news right now" thanks to 24-hour cable news channels and the public Internet and the rise of Craigslist have pretty much done in the newspapers. Now THAT is the free market at work.
10 posted on 08/04/2009 9:44:59 PM PDT by RayChuang88 (FairTax: America's economic cure)
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To: abb
...management failures to pitch new readers or charge for websites.

There are no new readers to be pitched to. Charging for websites is reasonable.

11 posted on 08/05/2009 11:27:25 AM PDT by MovementConservative (Marry; if you get a good wife, you'll be happy. If you get a bad one, you'll become a philosopher)
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