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Democracy Dies Behind Paywalls

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How many times has it happened? You’re on your computer, searching for a particular article, a hard-to-find fact, or a story you vaguely remember, and just when you seem to have discovered the exact right thing, a paywall descends. “$1 for Six Months.” “Save 40% on Year 1.” “Here’s Your Premium Digital Offer.” “Already a subscriber?” Hmm, no.

Now you’re faced with that old dilemma: to pay or not to pay. (Yes, you may face this very dilemma reading this story in The Atlantic.) And it’s not even that simple. It’s a monthly or yearly subscription—“Cancel at any time.” Is this article or story or fact important enough for you to pay?

Or do you tell yourself—as the overwhelming number of people do—that you’ll just keep searching and see if you can find it somewhere else for free?

According to the Reuters Institute for the Study of Journalism, more than 75 percent of America’s leading newspapers, magazines, and journals are behind online paywalls. And how do American news consumers react to that? Almost 80 percent of Americans steer around those paywalls and seek out a free option.

Paywalls create a two-tiered system: credible, fact-based information for people who are willing to pay for it, and murkier, less-reliable information for everyone else. Simply put, paywalls get in the way of informing the public, which is the mission of journalism. And they get in the way of the public being informed, which is the foundation  of democracy. It is a terrible time for the press to be failing at reaching people, during an election in which democracy is on the line. There’s a simple, temporary solution: Publications should suspend their paywalls for all 2024 election coverage and all information that is beneficial to voters. Democracy does not die in darkness—it dies behind paywalls.


The problem is not just that professionally produced news is behind a wall; the problem is that paywalls increase the proportion of free and easily available stories that are actually filled with misinformation and disinformation. Way back in 1995 (think America Online), the UCLA professor Eugene Volokh predicted that the rise of “cheap speech”—free internet content—would not only democratize mass media by allowing new voices, but also increase the proliferation of misinformation and conspiracy theories, which would then destabilize mass media.

Paul Barrett, the deputy director of the NYU Stern Center for Business and Human Rights and one of the premier scholars on mis- and disinformation, told me he knows of no research on the relationship between paywalls and misinformation. “But it stands to reason,” he said, “that if people seeking news are blocked by the paywalls that are increasingly common on serious professional journalism websites, many of those people are going to turn to less reliable sites where they’re more likely to encounter mis- and disinformation.”

In the pre-internet days, information wasn’t free—it just felt that way. Newsstands were everywhere, and you could buy a paper for a quarter. But that paper wasn’t just for you: After you read it at the coffee shop or on the train, you left it there for the next guy. The same was true for magazines. When I was the editor of Time, the publisher estimated that the “pass-along rate” of every issue was 10 to 15—that is, each magazine we sent out was read not only by the subscriber, but by 10 to 15 other people. In 1992, daily newspapers claimed a combined circulation of some 60 million; by 2022, while the nation had grown, that figure had fallen to 21 million. People want information to be free—and instantly available on their phone.

Barrett is aware that news organizations need revenue, and that almost a third of all U.S. newspapers have stopped publishing over the previous two decades. “It’s understandable that traditional news-gathering businesses are desperate for subscription revenue,” he told me, “but they may be inadvertently boosting the fortunes of fake news operations motivated by an appetite for clicks or an ideological agenda—or a combination of the two.”

Digital-news consumers can be divided into three categories: a small, elite group that pays hundreds to thousands of dollars a year for high-end subscriptions; a slightly larger group of people with one to three news subscriptions; and the roughly 80 percent of Americans who will not or cannot pay for information. Some significant percentage of this latter category are what scholars call “passive” news consumers—people who do not seek out information, but wait for it to come to them, whether from their social feeds, from friends, or from a TV in an airport. Putting reliable information behind paywalls increases the likelihood that passive news consumers will receive bad information.

In the short history of social media, the paywall was an early hurdle to getting good information; now there are newer and more perilous problems. The Wall Street Journal instituted a “hard paywall” in 1996. The Financial Times formally launched one in 2002. Other publications experimented with them, including The New York Times, which established its subscription plan and paywall in 2011. In 2000, I was the editor of Time.com, Time magazine’s website, when these experiments were going on. The axiom then was that “must have” publications like The Wall Street Journal could get away with charging for content, while “nice to have” publications like Time could not. Journalists were told that “information wants to be free.” But the truth was simpler: People wanted free information, and we gave it to them. And they got used to it.

Of course, publications need to cover their costs, and journalists need to be paid. Traditionally, publications had three lines of revenue: subscriptions, advertising, and newsstand sales. Newsstand sales have mostly disappeared. The internet should have been a virtual newsstand, but buying individual issues or articles is almost impossible. The failure to institute a frictionless mechanism for micropayments to purchase news was one of the greatest missteps in the early days of the web. Some publications would still be smart to try it.

I’d argue that paywalls are part of the reason Americans’ trust in media is at an all-time low. Less than a third of Americans in a recent Gallup poll say they have “a fair amount” or a “a great deal” of trust that the news is fair and accurate. A large percentage of these Americans see media as being biased. Well, part of the reason they think media are biased is that most fair, accurate, and unbiased news sits behind a wall. The free stuff needn’t be fair or accurate or unbiased. Disinformationists, conspiracy theorists, and Russian and Chinese troll farms don’t employ fact-checkers and libel lawyers and copy editors.

Part of the problem with the current, free news environment is that the platform companies, which are the largest distributors of free news, have deprioritized news. Meta has long had an uncomfortable relationship with news on Facebook. In the past year, according to CNN, Meta has changed its algorithm in a way that has cost some news outlets 30 to 40 percent of their traffic (and others more). Threads, Meta’s answer to X, is “not going to do anything to encourage” news and politics on the platform, says Adam Mosseri, the executive who oversees it. “My take is, from a platforms’ perspective, any incremental engagement or revenue [news] might drive is not at all worth the scrutiny, negativity (let’s be honest), or integrity risks that come along with them.” The platform companies are not in the news business; they are in the engagement business. News is less engaging than, say, dance shorts or chocolate-chip-cookie recipes—or eye-catching conspiracy theories.

As the platforms have diminished news, they have also weakened their integrity and content-moderation teams, which enforce community standards or terms of service. No major platform permits false advertising, child pornography, hate speech, or speech that leads to violence; the integrity and moderation teams take down such content. A recent paper from Barrett’s team at the NYU Stern Center for Business and Human Rights argues that the greatest tech-related threat in 2024 is not artificial intelligence or foreign election interference, but something more mundane: the retreat from content moderation and the hollowing-out of trust-and-safety units and election-integrity teams. The increase in bad information on the free web puts an even greater burden on fact-based news reporting.

Now AI-created clickbait is also a growing threat. Generative AI’s ability to model, scrape, and even plagiarize real news—and then tailor it to users—is extraordinary. AI clickbait mills, posing as legitimate journalistic organizations, are churning out content that rips off real news and reporting. These plagiarism mills are receiving funding because, well, they’re cheap and profitable. For now, Google’s rankings don’t appear to make a distinction between a news article written by a human being and one written by an AI chatbot. They can, and they should.


The best way to address these challenges is for newsrooms to remove or suspend their paywalls for stories related to the 2024 election. I am mindful of the irony of putting this plea behind The Atlantic’s own paywall, but that’s exactly where the argument should be made. If you’re reading this, you’ve probably paid to support journalism that you think matters in the world. Don’t you want it to be available to others, too, especially those who would not otherwise get to see it?

Emergencies and natural disasters have long prompted papers to suspend their paywalls. When Hurricane Irene hit the New York metropolitan area in 2011, The New York Times made all storm-related coverage freely available. “We are aware of our obligations to our audience and to the public at large when there is a big story that directly impacts such a large portion of people,” a New York Times editor said at the time. In some ways, this creates a philosophical inconsistency. The paywall says, This content is valuable and you have to pay for it. Suspending the paywall in a crisis says, This content is so valuable that you don’t have to pay for it. Similarly, when the coronavirus hit, The Atlantic made its COVID coverage—and its COVID Tracking Project—freely available to all.

During the pandemic, some publications found that suspending their paywall had an effect they had not anticipated: It increased subscriptions. The Seattle Times, the paper of record in a city that was an early epicenter of coronavirus, put all of its COVID-related content outside the paywall and then saw, according to its senior vice president of marketing, Kati Erwert, “a very significant increase in digital subscriptions”—two to three times its previous daily averages. The Philadelphia Inquirer put its COVID content outside its paywall in the spring of 2020 as a public service. And then, according to the paper’s director of special projects, Evan Benn, it saw a “higher than usual number of digital subscription sign-ups.”

The Tampa Bay Times, The Denver Post, and The St. Paul Pioneer Press, in Minnesota, all experienced similar increases, as did papers operated by the Tribune Publishing Company, including the Chicago Tribune and the Hartford Courant. The new subscribers were readers who appreciated the content and the reporting and wanted to support the paper’s efforts, and to make the coverage free for others to read, too.

Good journalism isn’t cheap, but outlets can find creative ways to pay for their reporting on the election. They can enlist foundations or other sponsors to underwrite their work. They can turn to readers who are willing to subscribe, renew their subscriptions, or make added donations to subsidize important coverage during a crucial election. And they can take advantage of the broader audience that unpaywalled stories can reach, using it to generate more advertising revenue—and even more civic-minded subscribers.

The reason papers suspend their paywall in times of crisis is because they understand that the basic and primary mission of the press is to inform and educate the public. This idea goes back to the country’s Founders. The press was protected by the First Amendment so it could provide the information that voters need in a democracy. “Our liberty depends on the freedom of the press,” Thomas Jefferson wrote, “and that cannot be limited without being lost.” Every journalist understands this. There is no story with a larger impact than an election in which the survival of democracy is on the ballot.

I believe it was a mistake to give away journalism for free in the 1990s. Information is not and never has been free. I devoutly believe that news organizations need to survive and figure out a revenue model that allows them to do so. But the most important mission of a news organization is to provide the public with information that allows citizens to make the best decisions in a constitutional democracy. Our government derives its legitimacy from the consent of the governed, and that consent is arrived at through the free flow of information—reliable, fact-based information. To that end, news organizations should put their election content in front of their paywall. The Constitution protects the press so that the press can protect constitutional democracy. Now the press must fulfill its end of the bargain.

Richard Stengel is a former managing editor of Time, former U.S. undersecretary for public diplomacy and public affairs, and author of Information Wars: How We Lost the Global Battle Against Disinformation and What We Can Do About It.
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Trump could cash out his DJT stock within weeks. Here’s what happens if he sells

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Former President Donald Trump is on the brink of a significant financial decision that could have far-reaching implications for both his personal wealth and the future of his fledgling social media company, Trump Media & Technology Group (TMTG). As the lockup period on his shares in TMTG, which owns Truth Social, nears its end, Trump could soon be free to sell his substantial stake in the company. However, the potential payday, which makes up a large portion of his net worth, comes with considerable risks for Trump and his supporters.

Trump’s stake in TMTG comprises nearly 59% of the company, amounting to 114,750,000 shares. As of now, this holding is valued at approximately $2.6 billion. These shares are currently under a lockup agreement, a common feature of initial public offerings (IPOs), designed to prevent company insiders from immediately selling their shares and potentially destabilizing the stock. The lockup, which began after TMTG’s merger with a special purpose acquisition company (SPAC), is set to expire on September 25, though it could end earlier if certain conditions are met.

Should Trump decide to sell his shares after the lockup expires, the market could respond in unpredictable ways. The sale of a substantial number of shares by a major stakeholder like Trump could flood the market, potentially driving down the stock price. Daniel Bradley, a finance professor at the University of South Florida, suggests that the market might react negatively to such a large sale, particularly if there aren’t enough buyers to absorb the supply. This could lead to a sharp decline in the stock’s value, impacting both Trump’s personal wealth and the company’s market standing.

Moreover, Trump’s involvement in Truth Social has been a key driver of investor interest. The platform, marketed as a free speech alternative to mainstream social media, has attracted a loyal user base largely due to Trump’s presence. If Trump were to sell his stake, it might signal a lack of confidence in the company, potentially shaking investor confidence and further depressing the stock price.

Trump’s decision is also influenced by his ongoing legal battles, which have already cost him over $100 million in legal fees. Selling his shares could provide a significant financial boost, helping him cover these mounting expenses. However, this move could also have political ramifications, especially as he continues his bid for the Republican nomination in the 2024 presidential race.

Trump Media’s success is closely tied to Trump’s political fortunes. The company’s stock has shown volatility in response to developments in the presidential race, with Trump’s chances of winning having a direct impact on the stock’s value. If Trump sells his stake, it could be interpreted as a lack of confidence in his own political future, potentially undermining both his campaign and the company’s prospects.

Truth Social, the flagship product of TMTG, has faced challenges in generating traffic and advertising revenue, especially compared to established social media giants like X (formerly Twitter) and Facebook. Despite this, the company’s valuation has remained high, fueled by investor speculation on Trump’s political future. If Trump remains in the race and manages to secure the presidency, the value of his shares could increase. Conversely, any missteps on the campaign trail could have the opposite effect, further destabilizing the stock.

As the lockup period comes to an end, Trump faces a critical decision that could shape the future of both his personal finances and Truth Social. Whether he chooses to hold onto his shares or cash out, the outcome will likely have significant consequences for the company, its investors, and Trump’s political aspirations.

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Arizona man accused of social media threats to Trump is arrested

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Cochise County, AZ — Law enforcement officials in Arizona have apprehended Ronald Lee Syvrud, a 66-year-old resident of Cochise County, after a manhunt was launched following alleged death threats he made against former President Donald Trump. The threats reportedly surfaced in social media posts over the past two weeks, as Trump visited the US-Mexico border in Cochise County on Thursday.

Syvrud, who hails from Benson, Arizona, located about 50 miles southeast of Tucson, was captured by the Cochise County Sheriff’s Office on Thursday afternoon. The Sheriff’s Office confirmed his arrest, stating, “This subject has been taken into custody without incident.”

In addition to the alleged threats against Trump, Syvrud is wanted for multiple offences, including failure to register as a sex offender. He also faces several warrants in both Wisconsin and Arizona, including charges for driving under the influence and a felony hit-and-run.

The timing of the arrest coincided with Trump’s visit to Cochise County, where he toured the US-Mexico border. During his visit, Trump addressed the ongoing border issues and criticized his political rival, Democratic presidential nominee Kamala Harris, for what he described as lax immigration policies. When asked by reporters about the ongoing manhunt for Syvrud, Trump responded, “No, I have not heard that, but I am not that surprised and the reason is because I want to do things that are very bad for the bad guys.”

This incident marks the latest in a series of threats against political figures during the current election cycle. Just earlier this month, a 66-year-old Virginia man was arrested on suspicion of making death threats against Vice President Kamala Harris and other public officials.

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Trump Media & Technology Group Faces Declining Stock Amid Financial Struggles and Increased Competition

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Tech News in Canada

Trump Media & Technology Group’s stock has taken a significant hit, dropping more than 11% this week following a disappointing earnings report and the return of former U.S. President Donald Trump to the rival social media platform X, formerly known as Twitter. This decline is part of a broader downward trend for the parent company of Truth Social, with the stock plummeting nearly 43% since mid-July. Despite the sharp decline, some investors remain unfazed, expressing continued optimism for the company’s financial future or standing by their investment as a show of political support for Trump.

One such investor, Todd Schlanger, an interior designer from West Palm Beach, explained his commitment to the stock, stating, “I’m a Republican, so I supported him. When I found out about the stock, I got involved because I support the company and believe in free speech.” Schlanger, who owns around 1,000 shares, is a regular user of Truth Social and is excited about the company’s future, particularly its plans to expand its streaming services. He believes Truth Social has the potential to be as strong as Facebook or X, despite the stock’s recent struggles.

However, Truth Social’s stock performance is deeply tied to Trump’s political influence and the company’s ability to generate sustainable revenue, which has proven challenging. An earnings report released last Friday showed the company lost over $16 million in the three-month period ending in June. Revenue dropped by 30%, down to approximately $836,000 compared to $1.2 million during the same period last year.

In response to the earnings report, Truth Social CEO Devin Nunes emphasized the company’s strong cash position, highlighting $344 million in cash reserves and no debt. He also reiterated the company’s commitment to free speech, stating, “From the beginning, it was our intention to make Truth Social an impenetrable beachhead of free speech, and by taking extraordinary steps to minimize our reliance on Big Tech, that is exactly what we are doing.”

Despite these assurances, investors reacted negatively to the quarterly report, leading to a steep drop in stock price. The situation was further complicated by Trump’s return to X, where he posted for the first time in a year. Trump’s exclusivity agreement with Trump Media & Technology Group mandates that he posts personal content first on Truth Social. However, he is allowed to make politically related posts on other social media platforms, which he did earlier this week, potentially drawing users away from Truth Social.

For investors like Teri Lynn Roberson, who purchased shares near the company’s peak after it went public in March, the decline in stock value has been disheartening. However, Roberson remains unbothered by the poor performance, saying her investment was more about supporting Trump than making money. “I’m way at a loss, but I am OK with that. I am just watching it for fun,” Roberson said, adding that she sees Trump’s return to X as a positive move that could expand his reach beyond Truth Social’s “echo chamber.”

The stock’s performance holds significant financial implications for Trump himself, as he owns a 65% stake in Trump Media & Technology Group. According to Fortune, this stake represents a substantial portion of his net worth, which could be vulnerable if the company continues to struggle financially.

Analysts have described Truth Social as a “meme stock,” similar to companies like GameStop and AMC that saw their stock prices driven by ideological investments rather than business fundamentals. Tyler Richey, an analyst at Sevens Report Research, noted that the stock has ebbed and flowed based on sentiment toward Trump. He pointed out that the recent decline coincided with the rise of U.S. Vice President Kamala Harris as the Democratic presidential nominee, which may have dampened perceptions of Trump’s 2024 election prospects.

Jay Ritter, a finance professor at the University of Florida, offered a grim long-term outlook for Truth Social, suggesting that the stock would likely remain volatile, but with an overall downward trend. “What’s lacking for the true believer in the company story is, ‘OK, where is the business strategy that will be generating revenue?'” Ritter said, highlighting the company’s struggle to produce a sustainable business model.

Still, for some investors, like Michael Rogers, a masonry company owner in North Carolina, their support for Trump Media & Technology Group is unwavering. Rogers, who owns over 10,000 shares, said he invested in the company both as a show of support for Trump and because of his belief in the company’s financial future. Despite concerns about the company’s revenue challenges, Rogers expressed confidence in the business, stating, “I’m in it for the long haul.”

Not all investors are as confident. Mitchell Standley, who made a significant return on his investment earlier this year by capitalizing on the hype surrounding Trump Media’s planned merger with Digital World Acquisition Corporation, has since moved on. “It was basically just a pump and dump,” Standley told ABC News. “I knew that once they merged, all of his supporters were going to dump a bunch of money into it and buy it up.” Now, Standley is staying away from the company, citing the lack of business fundamentals as the reason for his exit.

Truth Social’s future remains uncertain as it continues to struggle with financial losses and faces stiff competition from established social media platforms. While its user base and investor sentiment are bolstered by Trump’s political following, the company’s long-term viability will depend on its ability to create a sustainable revenue stream and maintain relevance in a crowded digital landscape.

As the company seeks to stabilize, the question remains whether its appeal to Trump’s supporters can translate into financial success or whether it will remain a volatile stock driven more by ideology than business fundamentals.

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