August 2008


Outsourcing and downsizing is a common theme in media as it is in most industries. But the announcement from Fairfax in Australia that it will be cutting 550 jobs raises the familiar question of whether the quality of news can remain the same with fewer journalists (see article in The Australian Fairfax sheds 550 jobs and quality journalism).

The clear response to the announcement has been concern that editorials, and in particular investigatory journalism will suffer, reducing the “fourth estate’s” ability to act as society’s monitor and watchdog over business and government.

The move towards outsourcing news stories – particularly foreign news – to news agencies and wire services such as AP, Reuters, and Bloomberg has been a trend for a long time. How often have you scanned several news sources only to find the same news verbatim?

Ironically, in the past, newspapers’s adoption of new information technologies was used to rationalise the posting of reporters around the world, as they could report back instantly (don’t take my word on this). These communications technologies however have resulted in a far more centralised production process where a few companies distribute reports to newspapers around the world.

Evidently, outsourcing of articles to syndicated news agencies can result in a reduced variety of available ‘news’ products. But a few things worth noting are:

  • We also have access to a far greater range on news sources online that we have in the past
  • The volume of news has increased phenomenally – newspapers maybe be using more syndicated news, but that doesn’t necessarily mean they are cutting their core offerings.
  • Web 2.0, which we are all spending more time using, clearly appears to be challenging some news companies, just as they had embraced the internet as it was. Fairfax did particularly badly with its entry into online services.
  • The Fairfax cut equates to about 5 per cent of total full-time staff. But notable (in my opinion) is that its flagship product the Australian Financial Review is to remain unaffected. These journalists write well and know their stuff.

With a touch of nostalgia I read the Wireless Watch Japan entry on mobile internet in Japan. The WWJ piece was critiquing an article in TechCrunch by on the success of mobile internet in Japan, particularly NTT Docomo’s i-mode.

The WWJ editors (rightly) point out that the success of mobile internet in Japan was mostly down to technological and business model innovation rather than cultural specificity in the Japanese market.

The WWJ editors are very dismissive of the Japan-specific story, and understandably so. This line has been carried by most analysts in the West and was long used as a reason why i-mode would never work outside of Japan. Regarding i-mode’s success,  they are spot on in identifying the importance of the relationships between handset manufacturer, operator, and content provider.

plus8star gives a good list of Japan firsts that help debunk the “only in Japan” approach used to dismiss much Japanese innovation:

  • Mobile email -1999
  • Camera phones and TFT colour screens – 2000
  • Commercial 3G  -2001
  • QR code reader – 2002
  • A big market for ringtones and song downloads (over 160 billion yen in 2005 according to Digital Content Association of Japan)

In a slightly more academic look at the success, this book chapter, Out of the Japanese Incubator (free download from ANU EPress) suggests a generalised 6 point model to the success of the platform.

  1. Collaborative business network between operators and manufacturers.
  2. Content aggregation.
  3. Micropayment mechanism.
  4. Independent content providers.
  5. Freedom of access outside aggregated content.
  6. Increased connectivity that results from these factors.

The book chapter also argues that rather than cultural specificity, the biggest barriers to exporting the i-mode model are likely to be 1) lack of the collaborative relationship between handset manufacturer and operator, 2) tendency for operators to enter exclusive arrangements with major content providers, and 3) the popularity of prepaid mobile phones outside of Japan.

So while western journalists and analysts got most fired up (and dismissive) about Japanese mobile telephony around 2001, Japan is still a resounding hotbed of innovation that – often years later – gets picked up in other markets. Leaving Tokyo again in 2007, I suffered major withdrawal symptoms after giving up the RFID contactless stored value card built into my phone. I didn’t know how I would be getting on trains or making payments at convenience stores.

But then again, I was coming to Canberra. I wouldn’t be using trains. Or convenience stores.

Despite its efforts to promote Singapore as a creative media content hub, a number of laws, including the banning of political films, has been a fly in the ointment of the government’s claims to creativity.

Yet moves appear afoot to amend the bill to ban political films, with Minister for Information Communications and the Arts Lee Boon Yang indicated he would table a bill to amend the Films Act early next year. (See AFP article for details)

PM Lee’s National Day Rally speech quoted in the Straits Times, however, indicates that the law will be softened rather than removed.

…we’ve got to allow political videos but with some safeguards.

According to the Straits Times article, factual footage, documentaries and recordings of live events will now be allowed, but ‘political commercials…of purely made-up material, partisan stuff, footage distorted to create a slanted impression’, should still be off-limits, thought the PM.

The PM’s speech also pointed to the ‘very restrictive’ laws that banned political blogging posting of political material on the internet during the 2006 election. Does this mean that opponents will be able to use the internet to distribute campaign material for the 2011 election as the Straits Times indicates?

Yet days after the rally speech, opposition leaders have been charged over a 2006 illegal procession or assembly without permit. See the International Herald Tribune article for details.

And PM Lee Hsien Loong himself to these ‘safeguards’ by taking a libel suit against the Far Eastern Economic Review further. The Singapore PM now charges that the 2006 article in the magazine implied he was corrupt, rather than that he simply condoned corruption by his father, former PM Lee Kuan Yew. The FEER story that motivated the Lees to file suit against the magazine and its author was entitled “Singapore’s Martyr: Chee Soon Juan”, and had quoted opposition politician Chee attacking the Lees. See Reuters article for more details.

The National Rally Day announcements by the Prime Minister and the tabling of the bill to amend the ban on political films is good news for the liberalising of society in Singapore, which will further encourage creativity and open critical analysis. But the big question is whether the Singapore government can deliver on these promises and not let the de jure amendments be undermined by de facto details and ‘safeguards’. To date, the actions by the courts and the PM himself have done little to ressure Singaporeans that change is on its way.