Was Warren Buffett right when he said U.S. newspapers weren't a good investment?
At the World Newspaper Congress in Istanbul, Turkey, which is running concurrently with the World Editors Forum, there has been discussion of comments made last month by investor Warren Buffett, who said the newspaper business is going to deteriorate. Brendan Hopkins, the CEO of APN News & Media, which is Australasia’s largest regional newspaper, radio and outdoor advertising group, had an interesting reaction -- he says Buffet singled out US newspapers and that innovations elsewhere in the world are keeping the business strong. Here is what he had to say at the Congress:
"Some of you may have read comments made by legendary investor Warren Buffett after the Berkshire Hathaway annual meeting last month - Berkshire owns 18 percent of the Washington Post and the Buffalo News.
"Buffett said, 'the economics of newspapers in the United States are very close to certain to deteriorate over the next 10 to 20 years.' This would be due to increased competition for advertising dollars from other media. Now,
you ignore Warrent Buffett at your peril. But I think it is relevant that he singled out United States newspapers, which in general have not kept pace with the product developments being seen elsewhere in the world. US
newspaper houses must innovate to survive."
1 TrackBacks
Listed below are links to blogs that reference this entry: Was Warren Buffett right when he said U.S. newspapers weren't a good investment?.
TrackBack URL for this entry: http://www.editorsweblog.org/mt/mt-tb.cgi/5967
The Editors Weblog is blogging a worldwide confab of newspaper editors in Turkey (to which I wish I'd managed to finagle an invite). A report on the future of news by Andrew Nachison and Dale Peskin of the American Press Institute, who propose three ne... Read More
Leave a comment