Online Journalism Review has a great Q&A with John Battelle (the guy behind Federated Media and Searchblog) about online journalism, blogging, and (most interesting to me) the business model for online journalism.
There’s no doubt that traditional media can and will continue, but it has a hard hump to get over. Traditional media is in the business of sort of corralling talent. [As a newspaper reporter], you don’t talk to readers. Your job is to talk to your sources. Institutionally, these organizations have grown up managing reporters, not talent. When I was editing at Wired, my job was to produce writers and manage 50-150 talented, half-crazy freelance writers, and I think it really got me ready to do what I’m doing now. People with influential blogs are talent and they don’t want to be told what to write about.
There’s an interesting dynamic going on in new media right now.
The big old media companies (newspapers, TV stations, etc.) are losing their audiences and their share of advertising money; they’re trying to figure out how to integrate new media (Internet, mobile, etc.) into a new business model to make up for the business they’re losing. If they’re not successful at this, then we’ll have a lot of big companies that will eventually go out of business — with all the attendent economic and social chaos that causes.
At the same time, we have scads of small new online media companies, like Federated Media and Gawker Media, trying to figure out an online-only (or online-mostly) business model. (For example, consider the issues PodTech is facing trying to balance production and bandwidth costs with advertising revenue.) The small new media companies don’t have much to lose, in a way — it’s not an industry with hundreds of thousands, or millions, of employees, investors counting on their success for their retirement investment, etc. But they have a lot to gain, obviously. (The individuals working in those small media companies are risking a lot, but it’s mostly their individual risk.)
Will the big media and little media meet in the middle? Maybe.
Will all the little new media startups get bought out by Yahoo, Google, AOL, etc. and essentially become small pieces of giant media/tech companies? Maybe. (And if that happens, do we risk losing the valuable diversity that lots of small companies bring to the ‘Net?)
Will the big media companies eventually wake up and figure it out and win the battle for the fast-growing online advertising pie? Maybe.
Will the little companies outmaneuver the big companies and make lots of individual bloggers and techies, if not rich, at least as well off as they would have been if they’d worked for a big traditional company? Maybe.
Will several of the above choices happen simultaneously? Are there other possibilities?
I don’t know the answer, but I think that making a living in the media right now is, existentially speaking, both scary and exciting because of the transition we’re seeing. And I think John Battelle and Robert Scoble, among others, are both likely to be among the first people to figure all this stuff out.