#MediaRevenue - David Clinch

Welcome to my weekly round-up of all things #MediaRevenue.

I have been seeing some very exciting testing of highly-trained AI driving significant news advertising revenue for publishers this week, based on attention time management and contextual targeting with first party data.

This will be a game-changing new approach to advertising for news publishers and I look forward to adding more publishers to the testing soon.

I am convinced that calibrating attention management for advertising and retention and pricing management for subscriptions is the best way for news publishers to move the dial on revenue in the short term, while longer term AI strategies are put in place.

I am also very excited about some new testing I am involved in to solve the problem of AI citations for publishers that do licensing deals with tech companies.

If you need help navigating any of the issues related to the impact of AI, and other technology, on your news organization, let me know: david@mediagrowthteam.com

I will be at ONA in Atlanta, LMA Fest in Chicago and a Press Gazette conference in New York over the next few months so let me know if you want to meet in person to hear more about these revenue opportunities.

Here are the latest #MediaRevenue stories from this week, including some updates on the new deal for supporting local news in California.

AI initiatives would get $40M annually in draft California journalism bill agreement: The partnership would provide over $300 million across five years, including at least $40 million annually for an unspecified “AI Innovation Accelerator” program managed by a “yet-to-be finalized” nonprofit. - Politico.

California deal is “step forward:” Rebuild Local News responds to new California deal to have Big Tech provide financial support to local newsrooms: The deal would apparently provide $45 million ($15 million from Google; $30 million from the government) in new funding in the first year for local newsrooms, and some support still to be determined in out years. - Editor & Publisher. Steven Waldman

California’s local news agreement with Google is a win: Overall, the settlement is a win. Its formula makes sure significant money goes to local journalists (text-based journalists, not broadcasters). The money should be able to start flowing fairly soon. Nieman Lab Ken Doctor

Lessons from the California Journalism Legislative Debacle: In the end, the Assembly sponsor and Google crafted a deal that, instead of $375 million a year, or $500 million a year, provides an average of $21 million (which, to save you the math, is less than 6% of $375 million) each year from Google, and for only five years, after which all bets seem to be off. Richard Tofel Blog.

Google wants to slash what it pays news outlets as levy calls grow: Google is trying to reduce what it spends on commercial deals with some smaller digital news publishers, amid growing calls for a levy on technology giants to fund journalism after Meta walked away from the (Australian) News Media Bargaining Code. - AFR.

Apple Cuts Jobs in Online Services Group as Priorities Shift: Layoffs will include some workers in Books and News apps. As for Apple News, the layoffs aren’t a sign that it’s becoming less of a focus, they said. - Bloomberg.

Fortune, a Rare Media Success, Faces a New Set of Challenges: Fortune is generating $130 million in revenue and has been profitable for the last three years. But now it faces a new hurdle: Three executives, including its longtime CEO, have left, and its owner wants revenue doubled by 2027. - AdWeek.

Amid layoffs and cost cutting, Time CEO Jessica Sibley is expecting a ‘very strong second half’: Cuts were made to the editorial, sales, marketing, technology and TIME Studios teams, according to a memo from CEO Jessica Sibley sent to Time staffers last week that was shared with Digiday. And more cost cutting measures are coming down the pike, including limiting contractors and downsizing its New York headquarters.?- Digiday.

Oil and ink mix as Chevron reports the ‘news’ in Texas, New Mexico: In the fossil fuel-rich Permian Basin, a major producer runs a regional website that combines industry perspective with feel-good local stories. - Louisiana Illuminator.

Print newspapers are back in Martinsville, Indiana.: One editor took the fight to a local ghost newspaper - and used paper and ink to win. IDS.

Is your advertising strategy future-ready?: With Google's delay in phasing out cookies, publishers are asking: What’s next? Discover how teams are adapting and reducing cookie reliance in our latest Mather blog: