News Ltd 'may charge for online content'

Changes at the top of News Limited suggest all its papers will soon begin charging readers for online content, former Herald Sun editor Bruce Guthrie believes.

Kim Williams, who is set to take over as chief executive from John Hartigan in December, has a proven track record in getting people to pay for something they used to get for free, he said.

"Ten years ago, when he stepped into Foxtel, it was losing a lot of money," Guthrie told ABC Radio on Thursday of the pay-TV boss.

"People weren't taking up subscriptions."

But in the decade since, Williams had managed to build a very significant subscriber base, he said.

"I suspect that (News Corporation chief) Rupert (Murdoch) is hoping he'll do the same with newspapers," Guthrie said.

Other News Limited newspapers would follow The Australian in implementing a paywall, probably in the next 12 months, he predicted.

Guthrie, who was sacked from the Herald Sun in 2008 by Hartigan, said it was time for the News Limited boss to go.

"He had probably eight or nine good years and probably two years he'd prefer to forget," he said.

He said speculation of a possible "retirement" had been rife a year ago, because of the NRL-Melbourne Storm scandal, dwindling circulation numbers and a flailing relationship with the Gillard government.

Guthrie said he suspected Williams had been appointed to rebuild that relationship.

"He has links to the Labor party in the sense that I think he's Gough Whitlam's son-in-law.

"Maybe that's another kind of advantage for him taking the job."

Williams agreed there were challenges in taking up the reins of a big newspaper organisation at a time when print media was suffering.

But he sees it as an opportunity, not a threat.

"There's a major technological change in all things across the world and digital technologies have impacted the media in a quite dramatic way," he told ABC radio.

"But human ingenuity, commercial thoughtfulness and resourceful marketing will always triumph, particularly if you're producing things that people need."

Williams said he saw a very healthy future for media, and paying for online news had its advantages.

"In terms of free news you get a very generic product, (but) as you move into a paid environment you get something that is much more tailored, something that is much more personalised.

"People see the value in having quality and choice and diversity."

Williams also dismissed concerns about his lack of print experience, with Guthrie noting that News Limited could have picked various other candidates with "ink running through their blood".

"I have ink running through my eyes — I'm a very active reader," he said.

Join the CIO Australia group on LinkedIn. The group is open to CIOs, IT Directors, COOs, CTOs and senior IT managers.

• Bookmark this page
• Share this article
  •  
  • facebook
  • slashdot
  • digg
  • Reddit
  • stumbleupon
  • linkedin
  • twitter
• Got more on this story? Email CIO
• Follow CIO on twitter

• Share
  Share this article

  •  google+
  • facebookfacebook
  • slashdotslashdot
  • diggdigg
  • RedditReddit
  • stumbleuponstumbleupon
  • linkedinlinkedin
  • twittertwitter
• print
• email
• Bookmark