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Murdoch Takes a Swipe At Google

         

kidder

11:44 pm on Oct 9, 2009 (gmt 0)

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At a conference of World Media Executives at Beijing's Great Hall of the People, Rupert Murdoch has taken aim at search engines like Google as internet parasites.

According to the News Corporation Chairman, the so-called "aggregators" on the internet steal content from traditional media organisations and, he says, the time has come for them to pay for it.

[abc.net.au...]

I wonder if Murdoch is playing around with Google shares this week... Does anyone think this argument has any legs?

[edited by: tedster at 2:14 am (utc) on Oct. 10, 2009]
[edit reason] add attribution for the quote [/edit]

whitenight

2:49 am on Oct 10, 2009 (gmt 0)

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For those who believe I think "everything Google does is evil"

THIS GUY leaves no doubts.

He's the allegorical "human farmers" that the animals of "Google Farm" work so hard to overthrow...
and then become.

And YES!, what he says is ALSO "true",
and behind it, is the worst kind of intentions.

Any script writers out there? Free idea! Modern-day Animal Farm done using the internet start-ups as the pigs and the Humans farmers as the corporate conglomerate media that Murdoch's ilk represent...
Working Title = "Internet Farm - A Cautionary Satire"

tedster

3:10 am on Oct 10, 2009 (gmt 0)

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It's hard to comment on a story where I see no good guy. I see Murdoch as a dark force, and yet I also agree with what he is saying. I begin to worry about my own balance when I'm nodding along to Rupert's Tune, no matter how agreeable his melody.

To be totally straight, Murdoch didn't single out Google -- the reporter just spun the story in that direction. Murdoch took aim at all Internet aggregators. Animal Farm indeed - good analogy, whitenight.

Syzygy

9:13 am on Oct 10, 2009 (gmt 0)

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It's funny, and exceptionally ironic that a man who, for over twenty years, has been pilloried for building a global empire that is considered to be an overly powerful, dominating and a monopolistic force in world media, particularly in the area of News, should be complaining about search engines like Google building empires that are considered to be oligarchic forces in world media, particularly in the areas of News...

The rise and fall of Empires. It's an endless cycle.

aristotle

11:28 am on Oct 10, 2009 (gmt 0)

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I suspect that what Murdoch really dislikes is the internet itself, because of its openness.

Reno

1:10 pm on Oct 10, 2009 (gmt 0)

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And he can't be happy that he paid a ton of money for MySpace, only to see Facebook eclipse them. Rupert is an old school businessman -- he either will not or cannot grasp the online world. Where others understand opportunity, he sees "aggregators".

...........................

tedster

3:55 pm on Oct 10, 2009 (gmt 0)

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For some reason I'm reminded of the historical period when the telephone began to replace the telegraph. The old-school/new-school split caused a lot of financial disruption then, too - with unfortunately a lot of violence toward the telephone workers. At least the current shift hasn't gone that extreme.

It may take quite a while to sort out intellectual property law in the light of new technologies. That disruption started with cassette tapes. There were some visionaries who got it right away - like the Grateful Dead - but decades later, we still had the Napster episode.

In this current struggle between the older print/broadcast mindset and the new online vehicles, there is certainly an intellectual property concern to sort out. Economic balance cannot include having one business model be a parasite.

Reno

4:31 pm on Oct 10, 2009 (gmt 0)

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The problem, in large part, is that technology can move at lightning speed, while society moves at a glacial pace, so the shift in attitudes, in laws, in the understanding of potential too often lags behind -- sometimes far behind. Guttenberg's Bibles were confiscated and burned, the printing presses smashed. And despite those efforts by the powers-that-be, the forward trajectory of spreading access to information for more of the people continued unabated. As tedster said, intellectual property will need to be protected, but perhaps not exactly like it was in the past. That remains to be seen, but one thing is for sure, all the bellowing by all the Masters of the Universe will not stem the tide -- it never does.

............................

londrum

5:03 pm on Oct 10, 2009 (gmt 0)

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what about when the papers start going to the wall... that will stem the tide. they're already having to close down because of falling ad revenues.

sites like google news can't just step in and replace them, because they do no reporting of their own.

aristotle

5:14 pm on Oct 10, 2009 (gmt 0)

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I doubt that intellectual property rights is the main issue for Murdoch. His long term goal is to control the dissemination of information. He had some partial success by buying newspapers and television stations. But he'll never be able to buy the interent, and he realizes it.

willybfriendly

5:23 pm on Oct 10, 2009 (gmt 0)

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It's hard to comment on a story where I see no good guy. I see Murdoch as a dark force, and yet I also agree with what he is saying. I begin to worry about my own balance when I'm nodding along to Rupert's Tune, no matter how agreeable his melody.

tedster, it sounds as if your thoughts about Google are evolving beyond the "symbiosis" you have described in historical posts - actually using the word parasitic in this thread.

I am not being provocative. I would like to hear more of your thoughts on this though. You choice of words suggests you are troubled on a much deeper level.

Reno

5:30 pm on Oct 10, 2009 (gmt 0)

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what about when the papers start going to the wall

I make no value judgements about this one way or the other -- it simply will happen and we'll all deal with the new reality. Newspapers will not go away, like everything else, they will have to evolve. The day will come in the not too distant future where Kindle-like devices will be $25 and you'll download your daily paper in seconds. Fourteen years ago I paid $1200 for a 1 GB Lacie harddrive the size of a dictionary -- now I can get a gigabyte from Rite Aide for $9 and carry it in my change purse. In fact, I'll make one more prediction: newspapers will give away the reading devices with every new one year subscription, and you'll see dozens of people reading them on the bus -- it's just a matter of time.

...............................

StoutFiles

5:39 pm on Oct 10, 2009 (gmt 0)

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Murdoch is angry because he can't monetize his content to what it was once worth on the internet and has no control over how others use his stories. His way of business is dying and his days of being a news powerhouse are rapidly fading. Also, by attacking Google he could potentially lose the millions that Google brings to his sites every day.

Boo hoo Mr. Murdoch.

tedster

5:50 pm on Oct 10, 2009 (gmt 0)

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You choice of words suggests you are troubled on a much deeper level.

I am. I still feel that Google's conscious intentions are benign. But as they grow, there is also an unconscious, shadow side that also grows and it becomes very important to illuminate.

Even in-your-face comments such as Murdoch's, can have the effect of REQUIRING Google to notice their own dark side - the place where their idealistically intended symbiosis begins to kill off those on whom they also depend.

If there is a major flaw in Google, it is their dynamic combination of idealism and business savvy. Carl Jung once wrote that the beginning of wisdom is the acceptance of evil as a personal trait - the observation that "I" am, necessarily, both evil and good.

Evil exists in every entity. A slogan cannot undo that universal fact - it's just youthful idealism, wishful thinking. Better to mature -- to notice that, in reality, you ARE evil and you cannot be other than a mix of good and evil. With that maturity comes a better chance that you will not DO evil, that you will accept responsibility for your inescapable dark side and transcend it in your actions.

I recommend this to everyone - all sides of the equation - because we all have this two-sided make up. There is no practical use for a self-righteous stance or the assumption that "I have the moral high ground and you don't."

The best we as webmasters and business owners can aim for (no matter how great or small our presence) is a symbiotic relationship with the Googles of our world. The game is competitive-cooperative, and not either one exclusively.

londrum

6:33 pm on Oct 10, 2009 (gmt 0)

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what was all that supposed to mean. if you can't beat them, join them?
people keep saying that the internet has changed the rules of the game, and that the media will have to change their business practices or die, but papers could quite easily make money off their offline/online papers if they had ownership of their own copy.

it's not the internet that is the problem. it's the companies that abuse it. google has the perfect money-making wheeze: take someone else's expensive hard work, mix it up with a load of other people's expensive hard work and paste the page with ads.

tedster

6:53 pm on Oct 10, 2009 (gmt 0)

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When search engines started, web users clearly needed them - as they do today. There was barely a whisper back then about intellectual property abuse -- partly (mostly?) because no one had figured out how to monetize search.

Google didn't invent search or the caching of content - but they did find a viable business model using it. Would have been better if we all had noticed the problem in the early 90s, but we didn't.

We mostly love search traffic, and we monetize our businesses around it. Is that enough balance to surrender part of our IP rights? Clearly the old media don't think so. But it is odd how the average webmaster complained very little when it was Napster ripping off the recording studios. Now, it's our turn to feel ripped off.

All of society has the nasty job of retrofitting some fairness into the situation, because we didn't insist on building it in from the start. We won't get that job done by painting Google all black, nor can they contribute to the job if the only color paint they use is white.

willybfriendly

7:01 pm on Oct 10, 2009 (gmt 0)

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A slogan cannot undo that universal fact - it's just youthful idealism, wishful thinking.

I have to wonder if the youthful idealism hasn't become cloaked by distance and the greed (for lack of a better word) of corporate America - laissez faire capitalism at its best/worst.

The "kids" don't run the show anymore. The exciting, different, innovative and idealistic company is becoming just another corporate behemoth, and the institution justifies itself on its own success rather than any meaningful exterior standards.

No longer are decisions made to a standard of "Is it right to...?", but rather, "How much will it make?", or worse, "Can we get away with it?"

Examples, besides this thread, might include, "Is it right to cut off long term adwords customers without warning, explanation or support?" Or, "Is it right to deny web telephony to regions that actually cost us money?" Or, "Is it right to convert Explorer to Chrome, in spite of how it might break built in features?" Etc. etc.

We don't even need to get into the ongoing privacy issues. My point is that there is a certain momentum that has built up that seems to be pushing Google onto, in my opinion, well worn, if unstable ground traversed by many large companies over the years. Witness the shift in sympathies to MS over the past year. I don't think it is simply because Google is the big boy on the block. No, it has more to do with attitude.

londrum

7:09 pm on Oct 10, 2009 (gmt 0)

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and what happened to napster. they didn't get away with it. they ended up paying for the content that they made money off, because that's the accepted way.

google seems to think that because they send us traffic, that somehow makes up for the fact that they are taking our stuff, using it, and making money. they think it's a fair swap. well maybe it is for the 20 sites that appear on the first two pages of google search, but what about the other 10,000? they get nothing. and maybe it is for the five papers that appear on the front page of a google news story, but what about the other 10,000? they get nothing, zip.

if someone makes money off my stuff, then i want a share of the money. that is all that rupert murdoch is saying. that is not an unfair position. people can't label him a dinosaur just because he doesn't kneel down in front of the google steamroller.

Reno

7:38 pm on Oct 10, 2009 (gmt 0)

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people can't label him a dinosaur just because he doesn't kneel down in front of the google steamroller.

Absolute agree, but a man with his considerable wealth & power is in a position to impact the direction all this is going. Sure he can complain about Google -- and as you said, perhaps rightfully so -- but if he were Steve Jobs, he'd be developing the next generation of digital readers so his own readership could take advantage of the technology. Jobs is an internet visionary and thus stays ahead of the curve; Murdock is still an old-school newspaper magnate who is tilting at windmills.

...................

StoutFiles

7:40 pm on Oct 10, 2009 (gmt 0)

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if someone makes money off my stuff, then i want a share of the money. that is all that rupert murdoch is saying. that is not an unfair position. people can't label him a dinosaur just because he doesn't kneel down in front of the google steamroller.

Then it will take some people to take the fall. Sites that fight Google will be removed from Google's search results. Sucks that companies have control of what should be impartial searches but that's life.

londrum

7:50 pm on Oct 10, 2009 (gmt 0)

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people are mixing two different issues up. when murdoch complains about aggregators people turn round and say he's "behind the times" and "needs to catch up with technology". but he's not complaining the internet, is he. he's not complaining about digital readers. he's complaining about one thing specific thing... aggregators. sites that take his stuff for free.

even if he developed the next generation of digital readers with all the bells and whistles, like you say, that doesn't fix the problem. because aggregators will still be there taking his stuff.

Reno

8:02 pm on Oct 10, 2009 (gmt 0)

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even if he developed the next generation of digital readers with all the bells and whistles, like you say, that doesn't fix the problem. because aggregators will still be there taking his stuff.

As tedster says, intellectual property deserves protection. And as I said, that protection probably will differ from what it use to be. Perhaps it will come down to some sort of "fair usage", where Google (or anyone else) will be allowed to summarize a certain percentage of any published news story without violating copyright. That needs to play out in the courts and in the legislatures.

Murdoch is first and foremost a businessman, as he has proven innumerable times. I say to him -- open your eyes -- your "news content" profits can skyrocket.

Imagine this: A fellow living in Kansas City stops at his local grocery store to do some shopping. He pulls his news reader memory card from his shirt pocket and plugs it into a kiosk by the front entrance, uses the touch screen menu to order the NY Times and Wall Street Journal; puts in 8 quarters and 45 seconds later they are on his card. He gets his groceries, goes home and reads the 2 "digital papers" in his easy chair. Now multiply that by a million people or more around the country every day. No papers to print; no trucks to carry them to Kansas City; no kids throwing them in your bushes. There's money to be made, and believe me, Murdoch will make it -- it's just a matter of society catching up with the potential. When that happens and the standards are set as to how much the "aggregators" can legitimately use, he'll be singing a different tune.

......................

StoutFiles

8:33 pm on Oct 10, 2009 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



As tedster says, intellectual property deserves protection.

Until they make the rules equal for whatever country you are hosted in, this will never happen.

Robert Charlton

11:13 pm on Oct 10, 2009 (gmt 0)

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...He gets his groceries, goes home and reads the 2 "digital papers" in his easy chair....

That model might still be workable for the New York Times and the Wall Street Journal, but for most papers, that model has changed.

With the web, the unit is no longer the latest edition of "the paper"... the unit is the article, and the most common method of retrieval is likely to be search, with social media and blog links perhaps also being high on the list. Once a link to an article has attracted you and you're on the newspaper site, you may well choose to browse around.

Both of the papers cited above, the WSG and the NYT, have gone with walled content in the past, and the WSG still has some... but the NYT, which is a well-SEOed site, dropped its subscription model just about two years ago because at the time the potential advertising revenue was looking better than the potential subscription revenue. And for all of Murdoch's complaints, the WSJ articles I see have "Share:" links to Facebook and to all of the other expected social media sites.

Also, Google announced a month ago that it had partnered with "three dozen top publishers", the NYT among them, to develop an experimental news browsing tool and a revenue sharing model.

New in Google Labs - Read news fast with Google Fast Flip
[webmasterworld.com...]

So, who was Murdoch talking to? To his web staff, to drop those Facebook links? To the Chinese, who were hosting the conference? To Google, who probably had invited him to join in the Fast Flip experiment (and I'm only guessing that one of his properties isn't in there)? To his IT staff, who could easily block Googlebot?

I don't want to diminish the problems of content aggregation and of news organization survival. Both are considerable, as is the problem of protecting intellectual property rights... and dealing with what these rights are... in a digital world. I just don't think that Murdoch was seriously addressing any of these. He is, though, probably haggling about the price.

Robert Charlton

11:33 pm on Oct 10, 2009 (gmt 0)

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PS: I should add to the above that I don't think that Fast Flip is the solution. At the least, they need to make the intro ads somewhat relevant to the audience of the stories they're introducing.

Ultimately, I'm anticipating some form of micropayments. See recent discussion here...

Google Checkout micropayments extension to help with Paid News Content
[webmasterworld.com...]

centime

11:38 pm on Oct 10, 2009 (gmt 0)

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Original information costs a lot of money to acquire.

Buy flight ticket, hotel bills, translator costs, flak Jacket if somewhere dangerous, ,,,,

End result , a 2000 word article

whitenight

3:04 am on Oct 11, 2009 (gmt 0)

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Better to mature -- to notice that, in reality, you ARE evil and you cannot be other than a mix of good and evil. With that maturity comes a better chance that you will not DO evil, that you will accept responsibility for your inescapable dark side and transcend it in your actions.

Lol, Tedster drops one of the keys to the Universe and no one has a comment?!
Oh well, It's called "shadow" for a reason
perhaps, deep meditation on my handle would help. Yes, it's a multi-layered meaning and it's NOT a mispelling

Until they make the rules equal for whatever country you are hosted in, this will never happen.

Been thinking a while about this.

It seems the world is going to have to unify in some sense
and create a "Internet Constitution"
that protects the rights of the common man, the middleman, and the PTB.

And naturally some of the current "Powers That Be" and Middlemen are going to be unhappy with their cut,
but the "means of production" don't come FROM them, do they?

Reno

4:01 am on Oct 11, 2009 (gmt 0)

WebmasterWorld Senior Member 10+ Year Member



but for most papers, that model has changed.

Yes, for now. But we don't know with any certainty how it will all evolve if/when the ultra low cost readers become readily available AND almost all newspapers offer a downloadable version. I think this will be especially good for the tens of millions who grew up in small towns but then had to move to the "big city" for better opportunity. I can see those people gladly paying a dollar a week to get the entire small town newspaper via a digital connection, just so they can keep up with the hometown stuff, where they likely still have family and friends.

One thing is for sure -- the technology IS going to change, and if history is a model, that means faster and cheaper. So it's up to the newspapers to adapt if they intend to survive -- it's all going to happen whether they like it or not.

It's possible that the aggregators are simply what's happening now at this stage of development. In 3 years they may seem more like bite-sized morsels, served up to entice viewers to buy the full meal. If that's the way it goes, few people will find fault.

......................

Shaddows

6:54 pm on Oct 11, 2009 (gmt 0)

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Wow, this is a philosophy-heavy thread, a great read. From the western version of yin-yang, through Orwellian dystopias, tied together by the monolithic struggle of Evil and Evil.

And picking up on the "means of production" reference to Marxist theory, could I suggest that in an ironic twist, Bourgeois Google, as controller of the Means of Distribution, is making unfair profit at the expense of the labouring Proletariat Murdoch? Or would such a sympathetic depiction of the arch-capitilist be too grotesque?

Aren't handles fun?

londrum

8:16 pm on Oct 11, 2009 (gmt 0)

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google... started out like karl marx with his do-gooding ideals and ended up as stalin. he got greedy and put tentacles in all our pies, spying on our privacy, like big brother, riding round whichever copyright laws he fancys, nationalising all the lowly people's websites for google's own use and siphoning the profit into the pockets of all his fat cat shareholders. and then he puts out all this propaganda that he is helping us out with a spoonful of traffic a day, to keep us all quiet.

a spoonful of traffic = opium for the masses

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