CNN has announced that it is launching a comprehensive new wire service to supply news and information to newspapers and other media.
In August of 2007, the company severed ties with Reuters, ending a 27 year long relationship. At the time, CNN stressed that the decision was based on the high importance placed on “content ownership,” with a spokesperson commenting “Everything is changing and content ownership is king.”
After enumerating the resources commanded by the cable giant, which include 22 international bureaus, 15 domestic bureaus, a radio network, and a website, the company said it is now has a sufficient base to offer such a service.
The development is confrontational in its challenge to the Associated Press (AP) and Reuters, the two mainstays in U.S. wire services.
It will be interesting to see how the company structures pricing. Recent reports have found that cash-strapped newspapers have been cutting back on their wire services in a bid to cut costs. In this climate, circumstances would seem less than ideal to launch another news wire.
Regardless, CNN is moving forward with its plans and is even offering editors from many news organizations an all expenses paid trip to Atlanta, where the company is headquartered, to learn more about the service.