• Satellite Radio Cos. Awash In Red Ink
    Losses at satellite radio companies XM and Sirius widened during the second quarter, reports Ad Age--although the latter posted an increase in ad revenue. Sirius, under former Viacom chief Mel Karmazin, lost $237.8 million on the period, compared with a loss of $177.6 million during second quarter of 2005. XM's losses came in at $231.7 million--up from $148.8 million. However, there is growth in the overall market, and Sirius' net subscriber additions outpaced XM's during the quarter, 600,460 to 398,012. One big factor keeping the companies in the red is subscriber acquisition costs: Sirius' acquisition costs dropped to $131 in …
  • Is Ziff Davis Going To Be Sold?
    Ziff Davis, owner of PC Magazine and Computer Gaming World, could sell itself for more than $300 million, reports Bloomberg News. The publishing company has shifted its focus toward Web sites and technology enthusiast events after the Internet cut into readership levels and advertising, effectively lowering its value. In 2000, it was bought by principal owner Willis Stein & Partners for $780 million. "We've become experts at saying that we'll move online if print isn't working," says Samir Husni, a magazine expert who heads the journalism department at the University of Mississippi. "A common excuse is to move a publication …
  • Sun Joins Front Section Ad Race
    The Baltimore Sun is the latest newspaper to announce plans to join other metro dailies and place ads on the front pages of some sections, writes Sun reporter Nick Madigan. In a memo to the staff on Tuesday, Editor Timothy Franklin and Managing Editor Robert Blau explain that there are no immediate plans to put ads on Page 1, and the timing and details of ad positions are being worked out. But ads would probably initially appear on the front of the Business and Sports sections. In an attempt to allay concerns about putting ads next to lead news articles, …
  • Free London Daily To Launch
    It's a go for Rupert Murdoch's free London evening newspaper, reports Media Life. The new daily, called Thelondonpaper, is set for a Sept. 18 launch. The move is seen as a challenge to the city's leading afternoon paper, the money-losing Evening Standard. Thelondonpaper's initial print run will be 400,000--same as the Standard. "Life has been tough for the Standard for some time now, and this makes it even tougher," says Derek Terrington, media analyst at Blue Oak Capital in London. "The incumbent, the Evening Standard, really has its work cut out to design an editorial package that is worth paying …
  • Death Of Teen People Highlights Digital Power
    The demise of 8-year-old Teen People's print edition last week indicates just how quickly digital media can change things, reports Ad Age. The book was an instant hit when it launched, but a lack of ad pages led to a decision that the brand would be more effective as a Web site. Hachette Filipacchi reached the same conclusion for Elle Girl. Ad Age cites the case of video-game advertisers cutting magazine spending to $28.8 million last year, from $46.1 million in 2002. At the same time, they nearly tripled their online dollars. Recently, an AOL-owned action-sports Web site called Lat34.com …
  • NBA Expands China Programming
    "Grooming tips and advice on gentlemanly behavior are being served up on television to millions of Chinese youngsters by the National Basketball Association as the sport extends its grip on the world's most populous nation," Reuters reports. The NBA is very popular in China, given the success of Houston Rockets center Yao Ming. Even in remote provinces, Chinese fans watch NBA action on the tube. Now the league hopes to build on that appeal with a weekly lifestyle show that goes behind the scenes of the game. "NBA Zhizao," or "Made in NBA", features leading players visiting the Great Wall, …
  • No Times For Geffen
    David Geffen, the music mogul and founder of DreamWorks SKG film studio, is among three West Coast billionaires to have made bids for the Los Angeles Times--only to be rebuffed, reports the Independent. While news of the emergence of serious bidders for the paper will build pressure on owner Tribune Co. to sell off the unit, Geffen was told by company CEO Dennis FitzSimons that he will not currently negotiate a sale--although he held out for the chance that this might change. Some estimates suggest the LA Times could sell for as much as $3 billion. Rumors of Geffen's interest …
  • GateHouse Wants More Papers
    A company that recently paid $410 million for a stable of suburban newspapers around Boston is looking for more publications around the country while trying to pay down a huge debt created by the deal, the Boston Globe reports. GateHouse Media Inc.--which two weeks ago filed to go public--sees big potential in smaller papers. Of the 380 daily newspaper owners in the United States, more than 93 percent own fewer than 10 papers. And that means there are a lot of potential sellers. "We believe this fragmentation provides significant consolidation opportunities," the company says. But "they've been piling up debt …
  • Philips Blows Out Subscription Cards
    In its latest marketing effort, Philips Electronics is paying Hearst $2 million to eliminate subscription cards from the September issues of four of its titles, reports The Wall Street Journal. The blow-ins will be gone from Redbook, O At Home, Weekend, and House Beautiful, and each will instead run a two-page Philips ad tagged "Simplicity is not having subscription cards fall out of your magazine." The cards are mostly an annoyance to magazine readers, but publishers like them because they are a relatively cheap, well-targeted way to reach new subscribers. With that in mind, many publishers might see the program …
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