Will E-Readers Solve Newspaper Woes?

newspaper woes

In the face of increasing competition from alternative media, newspapers have been struggling for survival for some time as both subscriber and advertising revenues continue to shrink. Newspaper printers have sought multiple solutions to cut costs ranging from switching to lighter weight paper to garnering incremental revenue in the form of specialty ads using scratch-n-sniff and fluorescent inks. However, these are mere drops in the bucket. Many newspapers have gone to digital editions to stave off the inevitable. (A recent article in The Atlantic specifically discusses the crisis facing The New York Times and posits a scenario where the existing newspaper brands may well pass entirely from existence.)  Clearly, a futuristic approach is needed if newspapers are indeed to have a future. Enter the e-reader, a portable, paperless newspaper, which would provide updatable news and information.

Testing the Waters

While electronic paper has been around for decades, it is only recently that it has come into its own and gathered the investment capital, technological improvement and momentum to become a significant commercial success. While e-newspapers are not yet a widespread reality, the timing is ripe for it to happen. There are several e-newspapers currently available in Asia-The Yantai Daily in China’s Shandong Province was the first to offer personalized news feed on iLiad readers, and there has been a flurry of activity in Europe recently. Seven leading French newspapers-the three main national French dailies, Le Monde, Le Figaro, and Libération; the sports paper L’Équipe; the tabloid, Le Parisien; the business paper, Les Échos; and the entertainment-magazine Télérama-participated in a Read & Go project to test the viability of switching to e-paper as a means of ensuring future profitability.

Diverse Results

While Le Monde was dissatisfied with the current e-readers, it noted positive results from the test. For example, customers spent 20-30 minutes reading on the device, which is comparable to time spent reading a paper newspaper. The device’s readability in sunlight and the dark were also noted as advantages. While still uncommitted, Le Monde feels a device designed for newspapers is critical for the future. Les Échoes says that cooperation between newspapers is critical for success, so a proprietary device will not fly. It believes the route to profitability is to provide customers with comprehensive information on a news item, rather than provide an e-reader as a substitute for the printed news. Le Figaro reported that the trial showed them an alternative for the future different than a digital online edition or a traditional printed newspaper.

Multiple Advantages

There are multiple advantages for moving to e-newspapers rather than publishing a printed paper. E-newspapers would eliminate printing and delivery cost-approximately 50% of operational expenses. In addition to the cost benefits, digital e-readers would be an environmental friendly alternative. Eliminating the printed page would save trees and replacing transportation for distribution would save fuel and energy and reduce air pollutants. As an example, four million trees were used for newspapers in Taiwan in 2008.

Current Challenges

plastic logic e-readerThere are trade-offs though. Although the greyscale levels have improved the look of photos and graphics, color is still a big issue. Also, the format-designed for books-is not enticing for newspaper enthusiasts who like to browse through the paper for items of interest. So for e-newspapers to really catch on, they would need larger screens, color screens (critical to attract advertising) and lower prices. However, e-paper technology is making significant strides these days and all of these challenges can be met. Flexible, color displays are moving towards commercialization. In 2009, Plastic Logic plans to introduce prototypes of a larger e-reader (8.5″ by 11″), which is said to offer a better alternative to current readers. New and innovative processes are being developed to bring costs down. The struggling newspaper industry is prime for the transformation to e-newspapers.

By Linda M. Casatelli


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