New media taking a financial hit too

While New Media tend to gloat over the financial troubles of MainStreamMedia, it turns out that they are just as vulnerable to the root cause of the current media crisis: seriously reduced advertising dollars. Slate.com notes that YouTube, one of the most heavily trafficked sites on the web (Susan Boyle is up to 50 million hits now), nevertheless is on track to lose $470 million this year (it takes a lot of servers, geeks, wires and overpaid executives to keep a site like YouTube going.) Meanwhile, Yahoo is laying off another 600 people (Globe and Mail), though its problems are complicated by serious competition from Google.

Slate.com, April 14 20009

Globe and Mail, April 22 2009

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The beat sweetener goes on

Slate counts up how many flattering, laudatory profiles the media is doing on the new Obama administration. Partly it’s because Obama, unlike the Bush administration, seems to have a clue how to handle media, partly it’s because media are trying to get inroads into the new administration, and partly it’s because Obama is still very popular (due mainly, as far as I can tell, to the fact that he’s not George W. Bush.)

Slate/Tyler McMurchy, April 9 2009