Gannett – Page 3 – Media Nation

Gannett is doing business with a notorious purveyor of pink slime

Just when Gannett was making some good news for itself by going on something of a modest hiring spree, splat! Investigative reporter Steven Monacelli has found that our largest newspaper chain, with about 200 daily newspapers, is working with Advantage Informatics, a well-known purveyor of so-called pink slime news sites.

Pink slime is the name given to websites that masquerade as legitimate local news projects but that are actually produced from distant locales. The meaning has morphed over the years. What I call Pink Slime 1.0 arose about a dozen years ago in the form of sites whose writers appeared to be based in local communities but were actually some distance away — in some cases, as far away as the Philippines. Pink Slime 2.0 has an ideological cast, mainly but not exclusively on the right. Pink Slime 3.0 adds artificial intelligence to the mix.

What most of these sites have in common is Brian Timpone, a Chicago-based conservative businessperson who is the founder of something called Metric Media, a network of some 1,200 right-wing sites. These projects tend to be pretty inept; my favorite covers the imaginary community of North Boston.

The Gannett-Timpone connection was exposed last week in a major report for Nieman Lab written by Monacelli on Advantage Informatics, a Timpone venture that produces advertorial content. Monacelli found that, in years past, newspapers such as the Houston Chronicle (owned by Hearst since 1987) and The San Diego Union-Tribune (recently acquired by the hedge fund Alden Global Capital) have taken advantage of Timpone’s services. (The Chronicle told Monacelli that it has no record of such a relationship.) Gannett is the one newspaper company he found that has a current, ongoing relationship with Advantage. He writes:

A Gannett spokesperson told me that the company works with Advantage Informatics on “advertorial” content. When asked about Advantage Informatics’ relationship with the broader Metric Media network, the spokesperson said, “Ethics and our values are priority for us.”

Monacelli has written quite a tale that includes a Tennessee journalism professor who used to work for Advantage and Advantage’s ambition to offer “dedicated beat reporting” of local sports, governmental meetings and “keeping a close eye” on statehouses and Congress.

On the one hand, I’m not sure it’s that big a deal who produces advertorial content. On the other, the fact is that Gannett is working with the pink slimiest company in the country. Despite Gannett’s recent good news on the hiring front, it would hardly be surprising if company executives played around with having Advantage try its hand at community coverage as well. After all, it was just a few months ago that Gannett was caught using AI to write local sports stories, to hilarious effect.

A final note: If you’d like to learn more about pink slime, Ellen Clegg and I interviewed Pri Bengani, an expert based at Columbia University who’s quoted in Monacelli’s article, on the “What Works” podcast last fall.

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Some good news from Rhode Island on the local news front

Ted Nesi of WPRI-TV (Channel 12) in Providence reports some good news from Rhode Island on the local news front. In his weekly “Nesi’s Notes” column (item 10), he writes that the seven local newspapers and other properties that comprise the East Bay Media Group are thriving, and that The Valley Breeze in northern Rhode Island is also doing well. East Bay publisher Matt Hayes tells Nesi that his properties now have 145,000 weekly readers, while Breeze publisher James Quinn says he’s now distributing 50,000 copies each week and is expanding.

The East Bay papers are paid and the Breeze is free, a sign that different types of for-profit business models can work. As Nesi observers, this comes at a time when even relatively healthy national papers such as The Wall Street Journal and The Washington Post are cutting their newsrooms.

It may be too soon to declare a trend, but with even Gannett in hiring mode after years of devastating cuts, it could be that people are rediscovering the importance of local news.

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Illinois seeks to bolster community journalism. Plus, a local news round-up.

The Illinois Statehouse. Photo (cc) 2023 by Warren LeMay.

Illinois lawmakers this week unveiled a massive package aimed at bolstering local news. According to Mark Caro of the Local News Initiative, based at Northwestern University in Chicago, the package comprises two separate bills:

The Journalism Preservation Act would require Big Tech companies such as Google and Facebook to compensate news organizations for the content that they share, display or link to on their platforms. The Strengthening Community Media Act offers a broad array of incentives, tax breaks and scholarships intended to repopulate local newsrooms. Included in that bill is a provision that calls for 120 days’ written notice before a local news organization may be sold to an out-of-state company.

As I’ve said before, I’m less than enthusiastic about going after the tech platforms, which presupposes that they are somehow stealing journalistic content without paying for it. Facebook executives have made it clear that they can live quite nicely without news. With respect to Google, media outlets find themselves in the awkward situation of demanding compensation while at the same time depending on the search giant to drive traffic to their websites. Indeed, any one of them could insert a simple line of code in their sites that would make them invisible to Google. None of them does. I would like to see Google and Facebook do more for local news, and maybe it ought to be mandated. But this bill seems like too much of a blunt instrument, as does similar legislation being pushed by Sen. Amy Klobuchar at the federal level.

The second Illinois bill includes a number of different ideas. I particularly like the proposed requirement for a 120-day notification period. As Steven Waldman, the president of Rebuild Local News, said recently on the podcast “E&P Reports,” a mandatory delay can give communities time to rally and prevent their local newspaper from falling into the hands of chain ownership.

Other provisions of the Strengthening Community Media Act would mandate that state agencies advertise with local news outlets, provide tax credits to publishers for hiring and retaining journalists, enact additional tax credits for small businesses that advertise with local outlets, and create scholarships for students who agree to work at a local Illinois news organization for two years or more.

It’s good to see action taking place at the state level given that several federal proposals in recent years have gone nowhere despite bipartisan support. It’s also notable that the proposals were drafted by Illinois’ Local Journalism Task Force, which was created in August 2021. Here in Massachusetts, legislation was signed by then-Gov. Charlie Baker way back in January 2021 to create a commission that would study local news. I had a hand in drafting that legislation and would be one of its members, but the commission has yet to get off the ground.

There are several other developments in local news that are worth taking note of.

• Gannett is making a $2 million investment in its Indianapolis Star aimed at bolstering the newsroom and the advertising sales staff. Two top Gannett executives recently appeared on “E&P Reports” about Gannett’s plans to reinvest in its properties. Unfortunately, Holly V. Hayes of the Indy Star writes, “This is the only site in the USA TODAY Network, which includes more than 200 local publications across the country, where such an investment is being made.” My hope is that if the investment leads to a boost in circulation and revenues, then it will serve as a model for what Gannett might do elsewhere.

• A new hyperlocal news project has made its debut in Boston. The Seaport Journal, a digital news outlet, covers the city’s newest neighborhood. Meanwhile, the Marblehead Beacon, one of three independent projects covering that town, has announced that it’s ending regular coverage but will continue to “pursue periodic and unique pieces, and shift away from daily, weekly, or otherwise regular articles.” A reminder: We track independent local news organizations in Massachusetts, and you can find a link to our list in the upper right corner of this website. Just look for “Mass. Indy News.”

• Local access cable television plays an important role in community journalism by carrying public meetings, providing a platform for residents to make their own media, and, in some cases, by covering the news directly. Unfortunately, cord-cutting has placed access television at risk since stations’ income is based on a fee assessed to cable providers for each subscriber. In CommonWealth Beacon, Caleb Tobin, a production technician at Holbrook Community Access and media and a junior at Stonehill College, argues in favor of Massachusetts legislation that would impose a 5% fee on streaming services. “While often viewed as a relic of the past,” Tobin writes, “the services that cable access stations provide are more important now than they’ve ever been.”

• Many thanks to Tara Henley, host of the Canadian podcast “Lean Out,” who interviewed Ellen Clegg and me about our book, “What Works in Community News.” You can listen here.

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Gannett is ramping up on the advertising and editorial sides — but will it last?

For a long time I’ve heard an alternative explanation for why newspaper advertising collapsed over the past 15 years. The argument goes something like this: Yes, Craigslist, Google and Facebook offered a better deal and took most of the ads that used to belong to newspapers. But newspapers themselves were to blame, too. Ad salespeople had become so accustomed to sitting at their desks and taking the orders that came pouring in that they actually had no experience or incentive to get out and sell. The tech platforms were going to have a devastating effect on them in any case, but it was worse than it needed to be, so this argument goes, because they couldn’t shake themselves out of the lethargy that came with many years of enjoying a monopoly or, at worst, a duopoly.

Which is why there’s some reason to be at least a little bit hopeful about the latest moves by a large media company that is hiring on both the business and editorial sides. At a time when many news organizations are in the midst of laying people off (CNN, The Washington Post, the Los Angeles Times) or shutting down (The Messenger), one media mega-corporation that is a household name is taking the opposite approach.

Would you believe it if I told you that the company is Gannett? The chain, which controls about 200 daily papers, anchored by USA Today, is rightly known for hollowing out newsrooms and using the savings to pay down debt and enrich their owners and top executives. These days, though, they are talking about trying something different.

Recently Mike Blinder of Editor & Publisher had two top Gannett executives on his podcast, “E&P Reports” — the chief content officer, Kristin Roberts, and Jason Taylor, the chief sales officer. After years of cutting at Gannett and the chain that it merged with several years ago, GateHouse Media, Gannett is now in expansion mode. Taylor said that Gannett has hired about two dozen local general managers since last August, with plans to hire more. These are the folks who are in charge of selling advertising, and they say it’s paying off with new accounts and with the return of some old accounts that left years ago.

Meanwhile, Roberts said that Gannett has hired 500 journalists since June of last year, with more to come in the months ahead. These are reporters, editors and visual journalists who, she said, will “bring strength back to local newsrooms, so that they can do the job of strengthening their local communities.” And yes, she mentioned the reporters that Gannett hired to cover Taylor Swift and Beyoncé, so make of that what you will.

Now, of course we should be skeptical. Axios has reported that the combined company eliminated fully half of its 21,000 employees after the 2019 merger, and the destruction it has wreaked in the communities it supposedly serves has been deep. I would love to hear from Media Nation readers whether they’ve seen any improvement in their Gannett paper’s coverage of local news in recent months.

The situation is especially dire in Eastern Massachusetts, where Gannett has closed and merged dozens of weekly papers and replaced local news stories with regional content from around the chain. Weeklies were at the heart of GateHouse, but the new Gannett doesn’t seem to have any interest in weeklies. If improvement is going to come, I suspect, it’s going to be at the dailies.

It’s also fair to be skeptical about whether the current upsurge is sustainable. Roberts and Taylor were recruited at a moment when the executives at the very top of Gannett decided to see if a little expansion might bring in more money than round after round of cuts. If it works, great. If it doesn’t, well, we know that the cutting will resume. Gannett remains heavily burdened by the debt it took on when it merged with GateHouse, which led the new Gannett to cut half its workforce.

The hiring that’s taking place now doesn’t come close to making up for what has been lost. But if they succeed, perhaps the hiring will continue.

• Blinder has been on a roll with his podcast. His latest features Steven Waldman, the president of Rebuild Local News, and Jeff Jarvis, a journalist, author and the retiring director of the Tow-Knight Center for Entrepreneurial Journalism at City University of New York. The discussion was billed as debate over whether legacy media is worth saving or if instead it’s time to let them go. They agreed more than I thought they would, though they diverged when the discussion turned to government assistance and efforts to force Google and Facebook to compensate news organizations. It’s well worth a listen.

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Why the local news crisis will be solved by enterpreneurs at the grassroots

Adrienne Johnson Martin, executive editor of MLK50. Photo (cc) 2023 by Dan Kennedy.

Ellen Clegg and I have written a commentary for Poynter Online about our book, “What Works in Community News.” The piece is focused on Ellen’s reporting in Memphis, Tennessee, where two nonprofit startups, MLK50 and the Daily Memphian, are filling the gap created by Gannett’s hollowing out of the legacy daily, The Commercial Appeal. Our bottom line:

We are heartened by the work being done by these news entrepreneurs. At a time when advocates are proposing solutions to the local news crisis such as tax credits, legal action to force Google and Facebook to share advertising revenues, and expanded philanthropic efforts, we’ve learned that there is no substitute for the dedication of grassroots news activists. We hope our work will inspire others to start similar efforts in their own communities.

We hope you’ll take a look at our piece.

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The Somerville Wire shuts down, but its editor says that coverage in the city is growing

Near Davis Square in Somerville. Photo (cc) 2023 by Dan Kennedy.

Nearly two years ago, Gannett merged the Medford Transcript and the Somerville Journal into one weekly paper called The Transcript & Journal. Even worse, nearly all local news was removed from the new paper, replaced with regional news from elsewhere in the chain.

In Medford, where I live, we now have nothing, although I’m optimistic that will change in the near future. In Somerville, though, there were several alternatives, foremost among them the weekly Somerville Times and a digital outlet called the Somerville Wire. Unfortunately, the Wire is shutting down. Jason Pramas, the editor, writes that the Wire got to be too much of a financial burden as well as a drain on his other work with the Boston Institute for Nonprofit Journalism (BINJ) and HorizonMass. (Pramas talked about both of those projects in a recent appearance on the “What Works” podcast.)

Besides, Pramas notes that Somerville has been getting more coverage lately, as the Cambridge Day has expanded into the city and The Boston Globe has begun a weekly “Camberville & beyond” newsletter. Pramas writes that “while Somerville is still in danger of becoming a ‘news desert’ (a community that no longer has a professionally-produced news outlet covering it), it’s now getting more news coverage than it was in 2021,” when the Wire launched.

Pramas and his colleagues Chris Faraone and John Loftus continue to do good and important work, and I wish them all the best.

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More news about our book

I want to let you know about a couple of media hits this weekend for “What Works in Community News.”

First, Billy Baker of The Boston Globe quotes my co-author, Ellen Clegg, and mentions our book in a feature on The Local News, which covers Ipswich and Rowley and is one of a number of nonprofit startups founded to fill the gap left behind when Gannett abandoned its weekly papers in Eastern Massachusetts. “This is what the founders envisioned, which is a lot of little newspapers in all the little towns in New England,” Ellen told Baker. As Baker notes, Ellen doesn’t just write about it — she also does it, as she’s also the co-founder and co-chair of another startup, Brookline.News.

Second, Colorado College journalism professor Corey Hutchins writes about our book in his well-read newsletter, “Inside the News in Colorado.” I visited Colorado in September 2021, mainly to report on upstart Colorado Sun but also to learn more about how the Sun fits into the state’s larger journalistic community One afternoon I drove from Denver to Colorado Springs in order to interview Hutchins. “I don’t know of any other state where there’s such a focus and attention from folks here who want to support a thriving local news ecosystem matched with attention from funders, smart media thinkers from around the country,” he told me.

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In ‘Hedged,’ Margot Susca explains how private equity destroyed newspapers

The media business analyst Alan Mutter once memorably asserted that newspapers’ “Original Sin” dates back to the mid 1990s, when they started giving away their journalism for free on the internet. Margot Susca, though, argues that the real fall from grace came roughly a decade later, when Fortress Investment Group paid $530 million to acquire Liberty Group Publishing, renaming it GateHouse Media. That transaction marked the beginning of the private equity era in journalism, an era defined by hollowed-out newsrooms and ghost newspapers that lack the resources to provide the communities they purportedly serve with the news and information they need.

Susca, an assistant professor of journalism at American University, tells the sad story of how private equity wiped out vast swaths of the newspaper business in “Hedged: How Private Investment Funds Helped Destroy American Newspapers and Undermine Democracy.”

Read the rest at The Arts Fuse.

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How Alden and Gannett inadvertently provided a boost to startup local news projects

The Buell Public Media Center in Denver, home of The Colorado Sun. Photo (cc) 2021 by Dan Kennedy.

Is there a silver lining hiding somewhere inside the rise of newspaper ownership by private equity? Brant Houston says yes. In a recent essay for the Gateway Journalism Review, Houston argues that what he calls the “Alden effect” has provided a significant boost to startup news projects as communities fight back against the destruction of their legacy newspapers. Alden is a reference to Alden Global Capital, a hedge fund that owns two newspaper chains, MediaNews Group and Tribune Publishing, which between them control about 100 papers. Houston writes:

Alden Global is a call to arms for the creation or expansion of alternative, and often nonprofit newsrooms. A call to arms that should have been sounded years ago.

Call it the Alden effect.

Alden’s brazen and brutal harvesting of a disrupted and distressed news industry has made clear the long death spiral of newspapers and legacy media. And it has made clear how a new business model for journalism (usually a nonprofit model or a public benefit corporation) is needed and how independent digital newsrooms need to form deeper alliances.

Houston is the Knight Chair in Investigative Reporting at the University of Illinois. He talked about his new book, “Changing Models for Journalism,” in an appearance last June on the “What Works” podcast. And a personal note: He was my first editor at The Daily Times Chronicle of Woburn, Massachusetts, way back in 1979.

In his Gateway article, Houston traces such Alden-driven moves as a closer relationship between two existing nonprofits, Voice of San Diego and inewsource, in response to Alden’s acquisition of The San Diego Union-Tribune; the merger of WBEZ and the Chicago Sun-Times following Alden’s takeover of the Chicago Tribune; the founding of The Colorado Sun by 10 Denver Post journalists who’d had enough of Alden’s cuts; and the wealthy hotel magnate Stewart Bainum’s decision to found a high-profile nonprofit, The Baltimore Banner, after he lost out to Alden in a bid to purchase Tribune Publishing, whose holdings include The Baltimore Sun.

Ellen Clegg and I encountered the Alden effect over and over in our reporting for our book, “What Works in Community News.” We might call it the “Alden and Gannett effect,” since we also examined communities whose newspapers had been shredded by Gannett, our largest newspaper chain with about 200 papers. In addition to Denver, the projects we write about that have their origins in cuts by Alden and Gannett include:

Memphis, Tennessee, where nonprofits such as MLK50 and the Daily Memphian are filling some of the gaps created by cuts at Gannett’s Commercial Appeal.
The Bedford Citizen, a small nonprofit in the Boston suburbs launched about a dozen years ago as Gannett’s predecessor company, GateHouse Media, hacked away at the local weekly and ultimately closed it.
Mendocino County, California, where two refugees from Alden papers started a digital site called The Mendocino Voice.
Santa Cruz, California, where two former employees of Alden’s Santa Cruz Sentinel founded a nonprofit called Santa Cruz Local and where a larger for-profit, Lookout Santa Cruz, is operating as well.

Starting a news project is grindingly hard work, and Ellen and I came away with enormous respect for the news entrepreneurs we interviewed. It would be easier if legacy newspapers had remained in the hands of local interests. But, as Houston argues, the rise of Alden, Gannett and other chain owners has provided a jolt to efforts aimed at reviving community-based journalism.

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Signal Ohio, a nonprofit startup, expands into Akron

Sunset in Akron, Ohio. Photo (cc) 2022 by Raymond Wambsgans.

Signal Ohio, a large, well-funded nonprofit news startup, is expanding into Akron. From the announcement:

Signal Ohio, one of the nation’s largest nonprofit news startups, launched Signal Akron today, its second newsroom in Ohio. The growing range of freely accessible journalism at SignalAkron.org will include accountability reporting and community resources. Stories already published include a deeper look at police accountability, the effects of the city’s efforts to set neighborhood boundaries, a column by local artists in Akron, and a guide to getting relief on utility bills.

“As we launch and continue to build Signal Akron, I’m excited to see our reporters include neighborhood voices and perspectives in their work. Our content will be driven by the community and the Akronites working in our Documenters program,” said Susan Kirkman Zake, editor-in-chief of Signal Akron.

Signal Ohio describes itself as “a network of independent, community-led, nonprofit newsrooms backed by a coalition of Ohio organizations, community leaders, and the American Journalism Project. With more than $15 million raised Signal is one of the largest local nonprofit news startups in the country with a growing network of newsrooms across Ohio.”

Akron, by the way, was home to The Devil Strip, a local arts and culture website that was at one time among the very few examples of a cooperatively owned local news organization. In 2021, The Devil Strip imploded in rather spectacular fashion, as Laura Hazard Owen reported at Nieman Lab. The legacy daily, the Akron Beacon Journal, is part of the Gannett chain.

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