Monday, May 24, 2010

Too Soon for the New York Times to Get Greedy

The New York Times currently allows users who are directed to their website through 3rd party links to access content for free. However, that may soon be changing. The NYT may adopt a model similar to the Wall Street Journal and the Financial Times, which requires users to subscribe in order to access linked stories. Given that the NYT is currently free, its no surprise that its story's are linked to more often by bloggers than those of its competitors. Charging users to access content will not only lead to a decrease in the number of sites linking to the NYT, but will also lead to a drastic reduction in online readership. While it's important for the company to monetize traffic directed to its site, charging a subscription fee is not the best approach. With new mobile/portable devices such as the iPad and other tablets hitting the market, the NYT will have plenty of opportunities to implement a subscription model. However, for now, it's in the company's best interest to ensure that it does not drive away eyeballs from its online content.

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