News Corp is reportedly putting its tablet-only publication, The Daily, ‘on watch’ as it considers its future after a poor financial peformance by the publication and a company-wide restructure. New York Observer sources claim the firm is calculating whether it can turn around the publication’s losses, which are estimated to have hit USD30m last year. The rumour comes on the back of CEO Rupert Murdoch’s confirmation that the firm will split off its publishing division from its stronger entertainment sections amid falling revenues and a phone-hacking scandal in the UK that has severely dented its brand image
The next few months are likely to be pivotal in proving that there is a big enough readership to boost device-only publications to profitability. Otherwise it will be back to square one for News Corp.