Yahoo! Adds ‘Daily News’ to Consortium

From this morning’s MediaPost:

Yahoo! has bolstered its year-old newspaper alliance by adding the New York Daily News, the nation’s fifth-largest newspaper, and the biggest to join the consortium so far.

Through the partnership, Yahoo’s HotJobs unit will help power the newspaper’s career site and extend the local job ads to a national audience. Yahoo, in turn, can sell ads on the site as part of the national network of newspaper sites it has built through the pact.

There are some indications that not everyone in the consortium is happy and that growth in revenues initially achieved via the HotJobs deal have slowed. Accordingly, Hearst, MediaNews and Cox have joined with Gannett and Tribune Co. to build out a newspaper ad network (for national advertisers to reach local consumers). Gannett and Tribune partner McClatchy is missing from the effort.

Hearst, MediaNews and Cox are part of the Yahoo! consortium. So their participation can only be seen as an effort to hedge, establish an alternative or “control their fate,” which they may feel they’ve ceded to Yahoo! to some degree. That was a big criticism of joining with Yahoo! among some in the newspaper industry.

I’d like to see the consortium succeed and have repeatedly posted about ways they could leverage each others’ strengths. But success in this case is not a foregone conclusion given the myriad execution challenges.

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Here’s my most recent newspaper post on the shift of readers to the Internet. See also, the just-launched MinnPost.com, an online-only “paper” started by the former publisher of the Minneapolis Star Tribune.

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One Response to “Yahoo! Adds ‘Daily News’ to Consortium”

  1. Yahoo! Adds More Papers to Consortium « Screenwerk Says:

    […] generally cheery public assessment of the deal, some newspapers, however, are hedging with talk of their own network and independent classifieds distribution […]

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