The Boston Globe reported today that Massachusetts Senator John Kerry will hold Senate Commerce Committee hearings in Washington next week to address the newspaper industry's financial problems. As more American newspapers fail due to loss of readership and advertising to the Internet, as well as the economic slump which has decreased advertising, government intervention might be inevitable.
Last month Maryland Senator Bill Cardin introduced a bill that would allow newspapers to operate as tax-exempt non-profits. Weeks before, House Speaker Nancy Pelosi also spotlighted the newspaper industry's problems with a letter urging the U.S. Justice Department to reconsider media ownership and anti-trust laws. Both Cardin and Pelosi stressed the importance of rescuing the printed paper because of its value as an American tradition and as an essential tool of democracy.
Kerry's interest in the newspaper industry follows New York Times Co.'s threat to shut down the Boston Globe if union concessions are not made. The Globe story released parts of a letter from Kerry addressed to "the Boston Globe family." In it he writes, "America's newspapers are struggling to survive and while there will be serious consequences in terms of the lives and financial security of the employees involved, including hundreds at the Globe, there will also be serious consequences for our democracy where diversity of opinion and strong debate are paramount."
While the Globe story is partly concerned with Kerry's Senate hearings, it also dedicates much of the piece to the plight of the Boston Globe. Daniel B. Totten, president of the Boston Newspaper Guild, and Robert Powers, a Globe spokesperson, both said they appreciate Kerry's support. Totten said, "Clearly, his effort is to get the Globe in a better place," Totten said. The article says negotiations on concessions will resume tomorrow and reports that there will be a "Save the Globe" rally this week.
How will the Senate address the newspaper industry's economic difficulties, and what kind of resolution will it find? Whereas Senator Kerry's interest seems to lie with the Boston Globe, San Francisco House representative Nancy Pelosi directed her attention to the troubles of the San Francisco Chronicle. Pelosi asked for a change in anti-trust laws so that a larger media group could buy the paper, while Cardin's solution calls for non-profit newspapers. Many argue that government intervention could interfere with freedom of speech. As the government gets more and more involved, how will they address the situation as a whole?
Source: The Boston Globe, Editor and Publisher

