ABC role in new media questioned
Speaking after the ABC was criticised by senior federal ministers and News Corp's Australian for teaming up with a publisher, Guardian Australia, to publish alleged phone-tapping of the Indonesian President, Mr Clarke said the ABC was not responsible for the deep troubles of traditional media organisations.
But he said questions ought to be asked about how appropriate it was for the ABC to move further into areas the private sector could fill.
"How we grow advertising revenue has got nothing to do with whether the ABC exists or not," Mr Clarke told a Melbourne Press Club lunch.
"The question is, whatever comes in the future, should they [the ABC] continue to push into that area?
"And at that point you have to ask the question, 'Why is a government-funded business doing this?' People will have different responses to that."
Mr Clarke said that despite today's media challenges - the fragmentation of audiences and advertisements, the rise of social media and aggregators - he was upbeat about News Corp's position.
He pointed to opportunities for print and digital, funded by both advertising and subscription.
And he said News Corp was happy to compete with media challengers, the Guardian Australia and the soon-to-be-launched Mail Online, saying: "It'll be on.
"I think the competition is heating up by the day . . . The beaut part about what's happened with all this segmentation and fragmentation is that it's tough for everybody to either sustain their current business or to enter into a new market.
"So they're going to have their hands full, and I would think from Fairfax's point of view, certainly from News' point of view, we're happy to have the blue."
Fairfax publishes BusinessDay.
Frequently Asked Questions about this Article…
The ABC's role in new media is being questioned because some believe that new media opportunities should be reserved for private-sector organizations. News Corp's Australian chief executive, Julian Clarke, suggests that the ABC's expansion into areas that the private sector could fill raises questions about the appropriateness of a government-funded entity competing in these spaces.
News Corp views the competition in the media landscape as heating up, with new challengers like Guardian Australia and Mail Online entering the market. Julian Clarke expressed confidence in News Corp's ability to compete, highlighting the opportunities for both print and digital media funded by advertising and subscriptions.
Traditional media organizations are facing challenges such as audience and advertisement fragmentation, the rise of social media, and the emergence of content aggregators. These factors make it difficult for media companies to sustain their current business models or enter new markets.
News Corp sees opportunities in both print and digital media, supported by advertising and subscription models. Despite the challenges, Julian Clarke remains optimistic about News Corp's position and its ability to compete effectively in the evolving media landscape.
The debate centers around whether it is appropriate for a government-funded entity like the ABC to compete in areas that could be filled by private companies. Critics argue that this could disadvantage private-sector organizations that rely on advertising and subscriptions for revenue.
Audience fragmentation impacts media companies by making it harder to reach a broad audience with traditional advertising methods. This fragmentation requires media companies to adapt their strategies to engage with smaller, more targeted audiences across various platforms.
News Corp is open to competing with new media challengers like Guardian Australia and Mail Online. Julian Clarke expressed a positive outlook on the competition, indicating that News Corp is prepared to face the challenges and opportunities presented by the evolving media landscape.
The rise of social media affects traditional media companies by changing how audiences consume content. Social media platforms offer alternative channels for news and entertainment, which can divert audiences and advertising revenue away from traditional media outlets.
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