Will the ad-revenue-generating power of TV vs. online advertising increase Rupert Murdoch’s influence over the national conversation?


This post is by from The Future of News


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We have another indication, as if we needed another, that online ads do not attract ad revenues like their counterparts in television. Based on Olympics ad spending, TV video ads may be 100x more valued by advertisers than online video ads. Video ad spending on NBCOlympics.com was only $5.75 million, just 1.1% of the $505 million total for video ad spending. A crude comparison, but still…

In the national news supply chain, original content driving the national conversation has originated from the newspaper side — AP, NY Times, and Washington Post — which are converging to the low revenue world of online advertising. On the other hand, Rupert Murdoch’s Wall Street Journal, unlike those venerable institutions, can draw upon the resources of News Corporation’s high revenue-generating TV properties. More revenues, more original reporting, more control over the national conversation. Look for Murdoch’s influence over our top stories to increase.


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