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38 Year Old Billionaire Netscape Founder: Stop Printing Newspapers
Patriot Room ^ | February 22, 2009 | Bill Dupray

Posted on 02/22/2009 4:29:10 PM PST by Bill Dupray

This is a fascinating, wide-ranging interview with Marc Andreessen, who has some advice for the newspaper giants: stop the print editions and take one year of acute pain, rather than suffer through years of chronic pain, bleeding the companies dry. He notes that papers like the New York Times are 90% focused on the dying print edition and only 10% on the web editions and though management is thrashing around trying to save a dead business model, their investors have already discounted the price of the stock to the 10% of the company that has any value.

(Excerpt) Read more at patriotroom.com ...


TOPICS: Business/Economy
KEYWORDS: andreessen; internet; media; netscape; newspapers
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1 posted on 02/22/2009 4:29:10 PM PST by Bill Dupray
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To: Bill Dupray

I second that.


2 posted on 02/22/2009 4:31:27 PM PST by krb (Obama is a miserable failure.)
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To: Bill Dupray

Actually, it would be cool if the sickest of papers would stop their print business. I know they are sick because of the dying business model, but there is also a bias component to it. So, if the sickest (read: most liberally biased) of the papers go first, then the slightly healthier papers (which may be less biased) can pick up the die-hard paper fans.


3 posted on 02/22/2009 4:33:28 PM PST by krb (Obama is a miserable failure.)
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To: Bill Dupray

Even tho’ I *really like* reading print editions, I gotta agree. Both Frank Ogden and Nicholas Negroponte predicted the demise of print news back in the early 1990’s, and they were dead right, for all the reasons that they gave.


4 posted on 02/22/2009 4:34:34 PM PST by DieHard the Hunter (Is mise an ceann-cinnidh. Cha ghéill mi do dhuine. Fàg am bealach.)
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To: Bill Dupray

Whatever happened to Netscape?


5 posted on 02/22/2009 4:35:13 PM PST by Netizen
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To: Bill Dupray

You can get instant electronic subscriptions to almost all of the major newspapers on Amazon’s Kindle for less than $10 per month and not kill any trees.


6 posted on 02/22/2009 4:38:53 PM PST by reg45 (Be calm everyone. The idiot child is in charge!)
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To: Netizen

Apparently the irony is lost on this guy.


7 posted on 02/22/2009 4:54:44 PM PST by Skenderbej
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To: Skenderbej

What irony?

He’s a 38-year-old billionaire.


8 posted on 02/22/2009 4:57:38 PM PST by Petronski (For the next few years, Gethsemane will not be marginal. We will know that garden. -- Cdl. Stafford)
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To: Petronski

Good one!


9 posted on 02/22/2009 5:08:44 PM PST by doc1019
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To: Bill Dupray

bfl


10 posted on 02/22/2009 5:20:40 PM PST by fightinJAG (Good riddance, UAW.)
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To: Bill Dupray
The present model newspapers are using is dead, has been for five years. Go ahead, pick up the phone, call your local newspaper, say you want to put in an ad for this Sunday's sport section, 2 columns by 4 inches. Ask how much it'll be, and what the exact size of the ad would be, so you can e-mail in the image.

You know what answer you'll get? Someone hemming and hawing to check the rate card, ask you a zillion questions about re-insertion, and maybe someone will be able to call you back about what formats they accept and the image size, but wouldn't you rather they do the graphics?

Go look at your local newspaper's website. Check out the rentals classified section. Is there even a key to explain some of the archaic symbols used in those tiny little ads? Nope. Why not more details - after all, it costs them almost nothing to put it on the web?

The newspaper, after bowing to the corporate advertising giants for so long, has yet to adapt to any rational pricing scheme which any human can understand. If you had a restaurant and wanted to place an ad for a special, it would take over two hours of talking to a sales person to get a single ad done. It's insane. Most newspapers used to handle their own finances, but now, getting an advertising account is virtually impossible without a very long term contract, and loads of money up front.

And so long as retail advertising continues to operate under this insanity, the rest of the paper will continue to shrink in size as they don't have the income to pay for content.

Want to spend a couple more minutes? Go pick up the local throw-a-way newspaper, open it up, and see what's not in the newsstand newspaper - advertising, from a wide variety of local businesses. They're having a great time, because they were never burdened with the insane rate card system that their ‘big brothers’ have to deal with, they have simple, no nonsense advertising sizes, pre-priced, and typically will float an advertiser's bill for monthly billing. Their actual problem right now is /too/ much advertising, and not enough content.

11 posted on 02/22/2009 5:32:26 PM PST by kingu (Party for rent - conservative opinions not required.)
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To: Bill Dupray

I wish i invented Netscape.
Darn.


12 posted on 02/22/2009 5:43:01 PM PST by mowowie
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To: Netizen

Isn’t Netscape now Firefox...both Mozilla?


13 posted on 02/22/2009 5:43:29 PM PST by madison10
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To: madison10

AOL purchased a vastly weakened Netscape after IE started eating its lunch.

Andreesen made his fortune from this acquisition but did not get out at the peak of Netscape’s market value. Far from it, it was practically firesaled from its potential high.

AOL continued the Netscape browser until just a year or two ago when it completely abandoned the browser to the ash heap of history.

Compare this to Mark Cuban who sold broadcast.com at the height of the internet frenzy in the late 90’s to Yahoo who has since completely buried the domain and the format that made it worth billions to begin with. Interesting what the parallels of two early developers of the period.


14 posted on 02/22/2009 5:54:31 PM PST by PittsburghAfterDark
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To: Petronski

That his browser faded into obscurity.


15 posted on 02/22/2009 5:55:38 PM PST by Skenderbej
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To: PittsburghAfterDark

This guy must be George Soros of the Net, wanting to tank his opposition in the name of creating a monopoly.


16 posted on 02/22/2009 5:56:46 PM PST by combat_boots ("In a time of universal deceit, telling the truth is a revolutionary act."Aldous Huxley)
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To: Skenderbej
Again though, he's a 38-year-old billionaire...
17 posted on 02/22/2009 5:59:53 PM PST by Petronski (For the next few years, Gethsemane will not be marginal. We will know that garden. -- Cdl. Stafford)
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To: Bill Dupray

My local dino media tells me that the problem is that their customers are well-versed (100 years of practice) in buying 4-color ads for “X” number of column inches. The customers cannot get their heads around this Web thing, especially grocery stores who still use printed coupons.

In the same vein, the sales staff of the DTE’s (Dead Tree Editions) simply don’t know how to sell web ads.

Finally, the newspapers are still in the mindset of “We report, you read”. The Web brings about the ability to have interactions (hopefully moderated or solicited) between readers and writers. It also means that it content can expand as it virtually has no limit, unlike the very real constraints of DTE’s.

I have press credentials to sporting events. It used to be that the print guys sneered at us Web guys. Now, they all are either unemployed, or moonlighting doing Web content, or outright hired by a dot-com somewhere.


18 posted on 02/22/2009 6:03:43 PM PST by TWohlford
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To: Bill Dupray

Ever try teaching your parents to use a computer?

I think newspapers are going to hold on for another few generations.


19 posted on 02/22/2009 6:05:44 PM PST by word_warrior_bob (You can now see my amazing doggie and new puppy on my homepage!! Come say hello to Jake & Sonny)
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To: Netizen

I think it evolved into Firefox.


20 posted on 02/22/2009 6:43:39 PM PST by tbw2 (Freeper sci-fi - "Humanity's Edge" - on amazon.com)
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