The business of news in the attention economy: Audience labor and MediaNews Group’s efforts to capitalize on news consumption

Abstract

This article analyzes the business of news in the early 21st century through a case study of the US newspaper company MediaNews Group. It examines the company’s efforts over the past decade to create sources of revenue while the US newspaper industry faced a growing financial crisis. This article argues it is necessary to rethink the political economy of news to see that power over news consumption is the foundation of the business of news. The concepts of an attention economy and audience labor are used to reframe the process of capitalizing on news as, fundamentally, a process of gaining power over attention in order to treat it as an exploitable form of audience labor and thereby generate revenue from news consumers or advertisers. This article then presents a study of the strategies for generating revenue used by MediaNews Group from 2006 to 2016, focusing on its clusters of newspapers in California. Ownership consolidation was the company’s key strategy until its debt and the industry’s crisis forced it into bankruptcy. The company then pursued a series of digital strategies: digital advertising, paywalls, mobile distribution, citizen journalism, copyright infringement lawsuits, and Google Consumer Surveys. None proved profitable enough, and in 2016, the company returned to ownership consolidation. MediaNews Group’s efforts over the past decade demonstrate the inescapable truth that power over attention is the key to the business of news: Capitalizing on news requires power over news consumption as a form of attention that can be exploited as news audience labor.