Buzzfeed job cuts come as the news media hunt for new funding models

The truth is that all outlets – print, TV and digital – are having to find new ways to generate revenue

It is a sad day when journalists anywhere face the threat of redundancy.

The news that Buzzfeed is to cut 15 per cent of its global workforce will naturally be of most concern to those working at the company; but it also serves to highlight the ongoing economic challenges faced by many western media.

It remains to be seen where the burden of Buzzfeed’s cuts will fall – it is, of course, more than just a news outlet. Nevertheless, with the owner of Huffington Post and Yahoo, Verizon Media, also announcing plans to reduce its media staff by 7 per cent, it would be a surprise if Buzzfeed’s news division was not affected significantly.

The company’s chief executive, Jonah Peretti, told staff in a message that revenue growth alone was not enough to bring success; costs need to be cut too.

Changes to the way users of social media (especially Facebook) see news content has had a major impact on publishers in the last 12 months. Buzzfeed saw huge growth from that quarter and has suffered from it not being a sustained source of audience.

The truth is that all news media outlets – print, TV and digital – are having to find new ways to generate revenue, as advertising continues to find an ever wider distribution, especially online.

The Independent ended its print operations three years ago because publishing on paper was not economically viable in the long term. Since then, we have found a financial model that is working, but with digital reading habits in a persistent state of flux, we must always be alive to innovative ways to fund our journalism.

Advertising remains vital of course, but we are also looking to subscription schemes (such as Independent Minds and the Daily Edition app), syndication deals and events – among other things – to ensure the Indy has a bright future.

We can even combine these strands. Earlier this week some of our subscribers joined us at an event at which Patrick Cockburn (with his nearly 30 years’ Indy service) and Bel Trew (our recent, brilliant recruit) discussed the big issues currently facing the Middle East. Tom Richell wrote about it in yesterday’s letter – and you can still watch it in full here.

The simple truth about good journalism is that it doesn’t come cheap. When many appear to have got used to the idea that it should also be free, that poses something of a conundrum for publishers.

But it is a conundrum we must continue to find solutions for – and we will.

Yours,

Will Gore

Executive editor