Global Media News

The Future Of The Newspaper

    It seems that the digital revolu

tion has tremendously hurt the newspaper industry.  Newspapers have been closing, reducing distribution and laying people off.  I was thought that the newspaper industry was dying due to the increase of technology consumption.  Well it turns out that some newspapers have taken a turn for the better since last year annual circulation reports.

    According to New York Times Article “Digital Gains Help Newspaper Circulation Figures” there has been a steady increase in digital circulation of newspapers this year.  Digital circulation of newspapers last year accounted for 9.8% of total average circulation while this year it is up to 15.3 percent.  According to the Audit Bureau of Circulations that is more than a 50% increase from 2011 to 2012. Digital circulation refers to tablets, smartphones, e-readers and metered Web sites.
   
    For some newspapers it turns out that the digital revolution is helping their circulation increase.  Newspapers like New York Times and The Wall Street Journal are among the most popular of the papers that are benefiting.  The New York Times increased their daily circulation average with the help of digital circulation by over 40% from 2011 to 2012.  

    There was another New York Times article called, “Small Gain in Newspaper Circulation, Aided by Digital Subscriptions” that discussed some very intersting facts in regards to the latest statistics to be released. The article said, “Under audit rules, newspapers can count paid digital subscribers more than once if they have daily access to digital content on multiple platforms like mobile apps or tablets as part of a bundled subscription package.”
This makes me wonder how accurate the latest statistics really are. Also it makes me interested to see if the increase in circulation is reflected in their profits for the year.

Overall many are optimistic about digital circulation helping newspapers.   Which is a major turn from the articles posted a few months ago that were feared the newspaper industry was on a downhill spiral.  The chief executive of the Newspaper Association of America, Caroline H. Little said, “We’re particularly gratified to note that newspapers’ embrace of digital platforms, as well as smart and efficient circulation strategies for print products, are reflected in the numbers, which clearly demonstrate positive trends in total circulation growth for publishers.” Personally I would love to see if all of these numbers are correlating to profits for the newspapers, or just helping them stay alive.  It seem to be a good thing for newspapers, but only time will tell if it leads to a successful business plan for the future.  

About.com.Journalism gives a very good explanation of how newspapers can get remain profitable in the digital revolution.  In the article, “How Can Newspapers Remain Profitable In The Digital Media Age” by Tony Rogers, it says that many newspapers require a print subscription to receive online access.  This is done because the online advertisements do not pay enough for a digital paper to be profitable, based on advertisements alone. The Democrat-Gazette is just one of the papers using its website to essentially keep the printed paper alive.  The Democrat-Gazette believes that the money is in the printed press not the online access.  Walther E. Hussman, jr. is a third generation newspaper publisher, and says “"The economics are still with the printed newspaper" and he believes that many papers of lost their print subscriptions because readers can access articles online for free.  

It is very interesting to see how different newspapers are using the digital revolution to keep their companies alive.  It seems that the digital revolution nearly eliminated the printed newspaper, but many are strategically learning to use the digital age to their advantage.  I wonder if these struggling papers will ever find a way to be as profitable as they once were, or if it will be an ongoing battle with the digital revolution.

To check out the future of newspapers, check out this Youtube video with John Temple. He discusses the transition of the newspaper industry to a digital forum.  He introduces the idea of an inclusive paper, where readers and journalist together participate in the paper online. He feels that people will have an opportunity to read and participate in the topics they have an interest in. He feels that this participation is a great benefit of the digital revolution for papers.

Natural Gas: A Future Of Profit And Cleaner Air

When speaking with some top investors,  they all said that natural gas is the commodity to buy.  Their job is to predict the future, and they are all banking on natural gas. This made me inquire, why natural gas? How is natural gas going to become profitable in the future? What is the change?

Since Bloomberg.com is a great place to get the lastest information of future trends I looked there to get more information on natural gas.  I already know that Shell is on board with natural gas, as are investors, but what does natural gas mean for the environment? According to a bloomberg.com article titled, “SUNY Closes Industry-Backed Fracking Institute”, natural gas may not be so great for the enviroment.  To retrieve natural gas miners are currently using a technique called fracking.  

Fracking is when, “millions of gallons of chemically treated water and sand are forced underground to break shale rock and free trapped gas.” This technology has made retrieving natural gas easy, efficient and cheaper.  According to Obama’s Energy Security task force  This technology has lowered the price of natural gas, employed many and enhanced national security.  

Although Obama’s Energy Security task force says fracking is great there is opposition.  Many are saying that fracking is linked to groundwater contamination, high ozone levels, headaches, sore throat and difficulty breathing.  The contaminated waste water when buried has been said to cause earthquakes in the United States.  

Many recognize that there are environmental problems, but according to Shale Resources and Society Institute these problems can be avoided. Pennsylvania had reduced the amount of incidents by half since 2008.  THerefore Shale believes that if companies follow the proper precautions these damages to peoples health and the environment can be avoided.  Another move to avoid environmental hazard come from shell who has financed a vessel that liquefied natural gas over a the ocean in a remote location off of Australia.  

The NaturalGas.org website has a ton of information and charts to explain what happens when natural gas is burned. This chart gives a great comparison between natural gas, oil and coal.

 

Fossil Fuel Emission Levels - Pounds per Billion Btu of Energy Input
Pollutant	Natural Gas	Oil	Coal
Carbon Dioxide	117,000	164,000	208,000
Carbon Monoxide	40	33	208
Nitrogen Oxides	92	448	457
Sulfur Dioxide	1	1,122	2,591
Particulates	7	84	2,744
Mercury	0.000	0.007	0.016
Source: EIA - Natural Gas Issues and Trends 1998

I gather from this that natural gas is still a fossil fuel, and burning it still does release toxins.  These toxins are far less hazardous than the oil we currently use, but still are not considered good for the environment. Natural gas is simply better for the environment than gas.

Natural gas is currently being drilled and used in the United States despite its possible dangers.  Activist are urging people to protect themselves and use modern technology to detect a natural gas leak. So what is the best way to detect a gas leak? SeekingAlpha.com reports of the newest advancments in detection.  The article titled, “PG&E's Use Of Picarro Technology Enhances Natural Gas System Safety Throughout PG&E Service Area” talks about Pacific Gas and Electric Company being the first utility to use the newest detection technology.  The Picarro Surveyor technology is a vehicle mounted, super-sensitive gas leak detection system.  Recently PG&E used the Picarro Surveyor to find two undetectable gas leaks in Northern California.

According to the director of gas maintenance and construction for PG&E, "Picarro Surveyor allows us to not only locate hard-to-find leaks with greater accuracy that we didn't have before, but it also has the ability to distinguish between natural gas in PG&E's system and naturally occurring methane."  This new technology has proven to make natural gas safer by providing early detection of gas leaks that may previously had been impossible to find. 

The article describes all of the benefits of this new software.  The "Picarro Surveyor measures and maps methane plumes in the air as the vehicle drives through neighborhoods." This is major improvement from the previously used technology that was hand held and much lesss sensative. The new technology replaced instruments that needed to be walked around an area by introducing a technology that is mounted on a car. The Picarro Surveyor is easy to use, has a
high-precision gas analyzer and an online component.  The online part of the Surveyor provides real-time data and alerts for repair teams on any web-enabled device. The online component can be accessed from an iPad, smartphone, laptop or home computer. This is a patented gas analysis technology and is the most effecient and accurate leak detection equipment. The online alerts allow repair teams to be notified emediatly, locate and repair the leak effeciently and prevent harm to those in the area of the leak.

Knowing that there are advance technologies to detect gas leaks and laws to keep gas drilling safe, I believe it is a great technological advancement for the United States.  Despite some hazards that come with dealing with any fossil fuel, I feel the benefits of natural gas with the help of modern technology outweigh any negative affects.  I see natural gas as a way for the United States not only to become self sufficient and no longer depend on foreign fossil fuels, but also as exporter of the soon to be valuable commodity.  I see that it is a better alternative for the environment then the current fuels we are burning.  With the rising costs of gasoline, natural gas will make transportation affordable again, and therefore have a huge affect on America’s economy.  The digital revolution has allowed for technological advancements that have made natural gas a real possibility in the near future.  There are already city buses running on natural gas, and there is only growth in where natural gas can take us.  The only thing holding the United States back is politics.    

Liquid Natural Gas: A Profitable Future

Natural gas has been around for while, people use it to heat their houses and fuel their barbeques.  If natural gas is around why are we still so dependent on oil? Well, transportation is heavily dependent on oil and only now are finally seeing vehicles running on natural gas.  This shift from oil to natural gas is a mjor game changer for the future.

Shell is one of the largest supporters of natural gas today. They are banking on natural gas as a the future way of life.   On Shell’s website these words are printed bold big, “Natural gas offers an affordable and environmentally acceptable option to power people’s lives today. It will also help to meet the world’s rising demand for more, cleaner energy into the future. Shell is using advanced technology to open up new resources of natural gas”.  Natural gas is cleaner than oil, abundant and an easily accessed in the US.  

Shell truly is putting a tremendous amount of resources into the gas of the future.  According to New York Times article, “Betting on Gas, Shell Floats Plan on High Seas”, Shell has control over nearly 30 percent of the worlds liquified natural gas volume.  There biggest stake in the future of natural gas is the vessel they are majority owner of.  This vessel is like nothing else built before and is a major investment in natural gas.

The largest ship ever made will span 1,600 feet, house 400 people and be on site for approximately 25 years.  This huge liquid natural gas vessel will house an apparatus that cools natural gas into liquid at negative 260 degrees Fahrenheit.  The total costs of this vessel would exceed $10 billion a year.  Despite these these high costs, it is expected that Shell could make $1 billion a year in net profits.  
Shell is proud to be the first to build a floating liquid natural gas vessel and is excited to move forward with countries like china and india that are leapfrogging into the future.  Another New York Times article written this October called “After the Boom in Natural Gas” discusses some of the advancements made with the use of natural gas most recently.  Not only does natural gas bring cheaper energy but cleaner energy.  According the article, “Companies and municipalities are deploying thousands of new gas-powered trucks and buses, curbing noxious diesel fumes and reducing the nation’s reliance on imported oil.” Natural gas is so much cheaper than oil that the United States economy benefited by over $100 billion last year.  The price of natural gas has reached an all time low, down nearly 60 percent.  
It seems that natural gas could be the commodity of the future.  With its price being at an all time low, its a good time to invest. Shell believes natural is a good investment and I am on board.  Check out this video uploaded to youtube by Shell, it promotes the use of natural gas with some great easy to understand facts.  

Square Up On The Competition

    Although the Square application has received a great deal of recognition and popularity throughout the few years that it has been out, there are other companies that have come out with a concept similar to the Square application.

    An example of this is Intuit’s GoPayment credit card reader, which provides its customer with the same benefits as Square because it allows its users to get paid while on the go. However, according to The Business Insider, “there’s no credit check or sign up fee with Square, but you still have to pay 2.75% plus $0.15 for each transaction. On the other hand, Intuit’s GoPayment requires a credit check, but you get a slightly better rate at 2.7% plus $0.15”.

    Another application that’s similar to Square is GoPago, which is also based in San Francisco, CA, and bankrolled by JP Morgan Chase. Unlike Square, GoPago does not give its merchants a card reader and software. It gives them a free Android tablet and Verizon 4G wireless data to be used solely for GoPago purposes. One main disadvantage that GoPago has is that it charges .10 percent more than Square. GoPago charges 2.85% per transaction while Square charges 2.75%. The slight advantage that GoPago has over Square is that it allows you to place a takeout order in advance when using its application.

   According to a CNN Money article, “The Company says it is currently processing transactions at an annualized rate of $6 billion, up from just $2 billion late last year. It has grown from 80 employees to over 300 in the past year… But Square is also under attack from a growing number of deep-pocketed competitors. In recent months, eBay's (EBAY) PayPal unit introduced a competing card reader for mobile devices as well as a set of apps that mimic the functionality of Square's apps. VeriFone, the giant maker of point of sale terminals, followed suit with its own card reader and a new business unit that is going after the same kind of mom-and-pop merchants that have been Square's core market. And others, like Groupon (GRPN) and Google, are said to be close to introducing products that will directly compete with Square's”.

All in all, as more technological advances come into place the Square application will face more competition, but as of right now Square is one of the most well-known card readers out right now. 

Bringing Tech to NYC (We'll Provide The Space, You Provide The Genius)

    New York City has recently become a new tech hub for computer geniuses. While the sector is growing, Tracey Samuelson of WNYC says that, “so too have the number of meet-ups, happy hours, demos and networking events – somewhere in the ballpark of hundreds a month are held throughout the city”. These events are producing new ideas through networking and ultimately revving up excitement for the New York tech industry.

    There has been a shift from a rigid, and old Silicon Valley to the bright new economical process in NYC. One way in which office dynamic is changing, is through a new practice called “co-working”. According to Manoush Zomorodi of WNYC, it’s “a communal office space where freelancers, telecommuters, and entrepreneurs can come together to share a copy machine, avoid NYC’s high rents, and make business connections (and friends).” New York leads the way with the most co-working spaces of all the cities in the world. Co-working will no doubt save valuable capital for these up and coming businesses, while also providing a playing field for ideas to bounce around. 

Digital Economics As the Third Wave Of Capitalism

    Technology is the greatest factor that is linked to economic growth. According to Oxford Economics emerging markets are increasing because digital technologies are growing consumer income and demand. As a result of these successes, corporations are investing in this industry in order to fuel economic growth.

            According to Oxford Economics, this is considered the “third wave of capitalism”. It is considered so because of the tremendous impact it is having on societies, governments, innovations and economics. With increasing technology, there is a need for new business models in order to evolve with this megatrend.

            The Aspen Institute believes that as the internet grows in scale and scope, it accelerates innovation in new and existing businesses, and enhances the creation and delivery of public goods. For example,  Etsy is a perfect example of a new, successful online business model, because its innovations allow for people to sell, buy, and trade their art and clothing. The simplicity of the site’s model has led to growth, and an interest in those who would like their sites to be interactive. The Aspen Institute believes that because the internet is run by the many, there are highly beneficial qualities that go along with that.

Going Paperless Leads to Job Loss!

Going paperless is thought to be saving the environment, “going-green” and of course a tax write-off.  But how does “going-green” really affecting our economy and what are the real reason companies are going paperless?

According the an article on huffingtonpost.com called “Newsweek Ending Print Edition, Going All-Digital In 2013; Job Cuts Expected” by Jack Mirkinson, Newsweek is going paper-less and its not to save the enviroment.  Newsweek is just one of many companies being pushed to go all digital for the cost of print is tremendous. Editor of Newsweek, Tina Brown said it costs $42 million to print and distribute the paper. While an all digital version would save the paper a tremendous amount of money.  

The all digital newsweek will begin in 2013 and will require a paid subscription.  WIth the shift to an all digital magazine layoffs will be necessary.  Newsweek is just one of many companies moving towards digital and away from manual.  This transition is causing layoffs across the board which has a great affect on the US economy.   

Newspaper circulation has dropped 51% in the last five years causing print to phased out.  There are three weekly newspapers in the US that stand out as the top papers. Newsweek, US News and World Report and Time.  Of these three major papers only time has enough circulation to remain in print in the new year.

Another devastating effect of the lack of paper circulation is discussed in the New York Time article titled, “The Fissures Are Growing For Papers” by David Carr.  Newspapers have acquired a tremendous amount of debt.  Either from stock shares bought at the wrong time or pension plans they are struggling to pay. With The rising costs of printing, the large amount of debt and the diminishing amount of paper circulation the newspaper industry is taking a turn for the worst.  

According to Rick Edmonds, a media business analysis “Most newspapers are in a place right now that they are going to have to make big cuts somewhere, and big seams are bound to show up at some point”.  These major cuts equate to job layoffs and a move to digital.  There have already been several bankruptcies in the newspaper industry, and the way things are looking there are only more to come.  THe shirt to digital isn't promising to increase enough revenue to pull these papers out of debt.  It looks more like a last chance to keep journalism alive.  

The truth is that printed papers are not a priority in the life of many americans.  The digital revolution has provided for a virtual cornucopia of sources for people to obtain daily news updated hourly and streaming live.  Not only are online and television sources updated frequently and faster to produce, many are free.  There is little reason for a person to pay for a printed press when they can google news and find over 1000 stories written daily covering the latest news both locally and globally.  For many people by the time a article goes to press and is distributed that story is old news.  Print is just not current enough in the fast pace lives of us living in a digital world.

All newspaper companies are feeling the hard times.  Even the local daily papers are having trouble staying afloat.  The New York Times Article, “Newspapers Cut Days From Publishing Week” discusses how most daily papers are only distributing 3 days a week to cut spending costs.  The hope to cut back on spending does come at an expense.  Consumers lose a sense of loyalty to a paper and are invited to look elsewhere for their daily news.  Advertisers would also be affected by this cutback. By distributing a paper only 3 days a week instead of daily there are less ads being printed as well.

The push to digitize everything in the new world of instantaneous information at our fingertips we lose a once profitable source of journalism.  The newspapers are all going digital, and slowing down print production.  This is not to save the environment but caused by financial pressures.  Technology has changed what consumers want. People want to have the most current news in their pocket at all times.  There is less and less money circulating in the newspaper industry and jobs are being affected.  

Travel to the Amazon....

No, not that Amazon.  More like Amazon.com.  What was once a small online store has since exploded as one of the internet's main shopping hubs. Amazon is the most visited online store and is ever expanding.  The company recently launched a series of tablets and e-readers under the name "Kindle." Users  can download books and apps directly to their device.  This has had a negative effect on the brick and mortar stores that sell hard copies. The Amazon Effect  Some book stores however are fighting back.  Barnes and Noble, developed their own tablet e-reader.  The Nook functions the same was as the Kindle, but purchases can help the company's bottom line.  They will still have the same amount of business. In an article in the New York Times by Julie Bosman she talks about "The Bookstores Last Stand."

As measured by numbers, bookstores are in inevitable decline, says Michael Cader, founder of Publishers Lunch, a digital newsletter. At the same time, he says, some "modestly sized, locally connected independent stores have found a successful formula" for surviving in today's market.

Bookstores will eventually be phased out, the only question is when.

Facebook Strikes Patent Deal.

Facebook and Microsoft are one. On Monday they have announced that they struck a deal for 1 Billion dollars. This deal also includes the already acquired AOL that Microsoft already own.Within this Already acquired patented Aol microsoft has beeen brought out of their share from AOl to Facebook. According to the The Washington Post Facebook will pay around 550 Billion dollars in cash for there AOl patents. The Vice Priesdent spoke about his  announcement on April 9, 2012 that turned many heads Within this Announcement it was said that Facebook and Microsoft are now partners. Microsoft grabbed up to 800 of AOL patents for up to $1.1 Billion dollars. From the media source Facebook would own up to 650 patents from AOL and plus a license from Microsoft. Microsoft will keep the remaining 275 patents and also have the license from people owned by Facebook. Executive Vice President Brad Smith say that

    “Today’s agreement with Facebook enables us to recoup over half of our costs while achieving our goals from the AOL auction",  meaning that The Agreement between Facebook and Mircosoft is strickly business also it gives the goal they want to achieve within AOL Patents.

Microsoft executive vice president Brad Smith say that Microsoft own 1.6 percent of the Facebook shares. These two companies has been working closely together also bringing Skype integration into the social network field. “It had, however, been reported by Bloomberg that Microsoft outbid Facebook for the AOL patents.

Another problem facing  Facebook  is that they are countersuing yahoo. In this countersuit Yahoo Inc. claimed that Facebook violated 10 patents covering advertising, privacy controls and social networking. Facebook denied Yahoo's allegations and accused Yahoo of violating 10 of its patents covering photo tagging, advertising, online recommendations and more.The patents are an undoubtedly a stockpile for Facebook social network has filed a counter suit against yahoo. In this counter suit it states below that Facebook has been

“ Infringing on several patents regarding social networking, ad placement and user customization. Facebook, in turn, denied the accusations of infringement and claimed that Yahoo violates Facebook patents including those related to photo-sharing, the real-time news feed and tagging digital media

All of this term oil between Facebook and Yahoo cause in the end Microsoft and Facebook becoming together.

Nike #RSVP on Twitter

 

This past weekend Nike tried something new idea. This idea was to release of its latest sneaker the Air Jordan 12 Playoffs. Nike's plan was to reserve  RSVP sneakers by hash tagging the sneaker name through twitter. So for example if you wanted to RSVP a pair of sneakers you would have to #AJ12. According to Allie Walker of PSK post. 

"When Nike released the Air Jordan 11 Retro in December 2011, eager sneaker fans camped outside of stores for days, fighting for the chance to be the first to own the new shoe. Riots ensued, police were called in for crowd control, and there were even reports of people being trampled by crazed sneaker fanatics rushing to grab the sneakers off the shelves."

Nike tried this new system in order to end the camp outs  and stop the violence over the sneakers. After the Air Jordan 11 release and a couple sneakers after more notably the Air Foamposite Galaxy. Nike has high hopes for this RSVP twitter system would an end to the madness and chaos. Also according to Allie of PSK.

"Nike introduced its Twitter RSVP system for new product launches earlier this week, aimed to help the company better manage hectic release days (fans camp out for more than just Air Jordans). With the new Twitter RSVP System, Nike stores will send out a randomly timed tweet with a product specific hash tag on RSVP Day."

At the beginning this seems to be a very good idea but like everything else in the world it has room for improvement. For one not everyone who buys sneakers has a twitter account. Myself for example I tried to RSVP a pair for myself so I made a twitter account but I was very unfamiliar with the Twitter direct message system so it was not able to RSVP myself pair. The main reason is because Nike did not follow me back on twitter which means Nike did not get my direct message. In the upside this new twitter RSVP for sneakers becomes a new way to market the sneakers. Still this is a work in progressss and hopefully Nike will have more success with their future sneaker releases.

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