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What newspapers need is new policy — whether that be through a combination of tax structure, strengthened cross-ownership rules or new revenue from search engines — that promotes an independent press.
There's more to the opinion though-- basically he's saying newspapers do generate enough revenue to remain going concerns if they've avoided the consolidation fad, and have great potential to earn greater share of online advertising with the content they produce and own.
That said, to the extent the Public Broadcasting System and National Public Radio can be held up as government-subsidized news sources, the results have been outstanding in the US. Nothing like them in the commercial media.