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Report paints grim overview of NZ media landscape

Room for public debate is shrinking with the New Zealand media becoming a plaything of global shareholders, researchers warn.

Room for public debate is shrinking with the New Zealand media becoming a plaything of global shareholders, researchers warn.

A report by AUT University’s Research Centre for Journalism, Media and Democracy (JMAD) says local media companies are increasingly dominated by global and pan-regional corporations and are vulnerable to commercial and shareholder pressures.

As a result, they are now economising, digitising and monetising, with dire consequences for those employed in the industry, and consumers.

“There are now three major players that own 80 percent plus of the New Zealand media – APN, Fairfax and MediaWorks,” said JMAD co-director and AUT media studies lecturer associate professor Wayne Hope.

“The sphere for public debate is shrinking with fewer voices, fewer journalists and fewer outlets. Every New Zealander relies on mass media for information about the world around them.

"In a situation where we have concentration of ownership into a few hands and profit becomes more important than public interest, the danger is  not only  that  we get less information overall, we also get less variety of information.”

The report chronicles key events and trends which have most recently shaped the media space, including the closure of news service NZPA after 130 years, the end of funding of TVNZ7 and TVNZ6, the expansion of Sky to the internet sphere, and corporate entering the local news markets.

"Within media operations themselves, financial holdings have increased significantly," wrote author Merja Myllylahti. "During 2011 Fairfax, APN and Sky expanded their influence at the expense of public broadcasting provision and independent, nationwide news services."

Although Fairfax and APN are fierce competitors, they are also exploring ways to converge their operations, including possibly combining printing operations.

The report argues that news stories are being informed by fewer sources, resulting in fewer voices being heard.

"Broadly speaking there are fewer mainstream content providers and less choice for consumer-citizens," said Myllylahti.

However, emerging hyperlocal news sites "may encourage alternative public spheres of communication, alongside a growing acceptance of user-generated news-like content and the rising popularity of blogs, social media and alternative news".

According to the report, one of the most noticeable changes to the media landscape was Telecom's decision to pull out of Yahoo!Xtra when it sold its stake to majority owner Yahoo7.

"After the sale the Yahoo!Xtra business was rebranded to Yahoo!New Zealand – somewhat of a misnomer since the company is owned by the American Yahoo and Australia's Seven Network."

Another shift occurred in the form of the government's decision to close down TVNZ7 and TVNZ6, something Myllylahti said was beneficial for one operator: Sky TV and its shareholders. 

Hope said the relationship between big media and government was "too cosy".

"We’ve seen that made massively clear with Rupert Murdoch. In that situation a handful of powerful media companies also exert undue influence over government. The $43 million loan to MediaWorks to cover their licence fee and other expenses is a local example.”

Media corporations have also been busy expanding their operations to group-buying sites and other e-commerce platforms. In February, MediaWorks launched its own daily deals offering, Cudo – a joint venture between MediaWorks, Microsoft, Australia's Nine Entertainment and Cudo Australia. Meanwhile, APN increased its ownership of GrabOne from 50 to 75 percent. Fairfax also bought Occupancy, which operates Australian websites listing holiday rental properties, to add to its portfolio that includes holiday rental site Stayz and online travel operations Holidayhomes.co.nz and Bookit.co.nz.


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Comments

There are plenty of independent media companies in NZ. While the mainstream ones are “all about the money” others have taken different approaches.

If Kiwi's stopped reading and buying the mainstream regurgitated PR and populist garbage they would have no choice but to improve their products to hold their market share.

But, when NZ's mainstream media companies are more interested in their advertising dollars it is no surprise the journalism is suffering. Even the small guys are thoroughly corrupted by advertising.

Mr Hodge! Today is international apostrophe relaxation day. Give apostrophes the day off from pluralizing things.

Then do that forever.

In defense of Peter, I didn't (conjunction; acceptable) know that using apostrophes to show possession (i.e. correctly) was against the rules. I thought the quotation was in bounds as well. Not sure what Lisa was talking about.

Glad to see Kiwi journalists (plural; no apostrophe necessary) still know how to write.

I can't believe we are having this discussion in the 21st century. Facebook, Twitter, Blogs and the Internet are the future of information not Rupert and his mates.

The news has never been balanced it is always someone's propaganda so get over it and good riddance.

Oh Lisa, what is your justification for letting Americanised spelling creep into your post?

Fred, I believe she was referring to the sentence “If Kiwi's stopped reading” (plural).

Yeah, Liza.

As for media, there is now so much choice and variety in opinion and reportage that it's simply anachronistic of the study to finger 'mainstream' media for attention.

That's a bit like complaining there's no good music simply because Lady Gaga is so popular.

What I think is more of a concern is that professionalised media is struggling to find a way to make it work in a world of rank amateurs.

Originality of opinion and expression along with the quality and relavance of the content is, has been and will be what will define successful media companies. If the funding of journalism requires the financial support of advertisers then we are f..doomed. We will see the emergence of new players, challenging the establishment who, hampered by contracts with multi-national advertisers will struggle to compete with the “free” press

How well has so-called citizen journalism served the New Zealand public? Examples? Thoughts? Hopes? Dreams? Thought you'd have a hope, but turns out you were dreaming?

Not that regular garden variety journalism has necessarily served the New Zealand public any better.

Hey Vincent agree - only the amateurs are young, poorly trained, inexperienced and poorly paid kids who are populating the newsrooms across all media. Look at the appalling, inaccurate account in the Herald of the Wallace art awards winner - the reporter never left the building to travel all of 15 mins to actually look at the artwork. But she would probably have moved her silly arse pronto to get down to a Fashion Week event and filed the appropriate drivel laden with sponsor mentions.


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