A colleague has pointed out that our hometown Atlanta Journal Constitution (free registration required) has a more in-depth story on Pipeline moving to a free product. Read ‘CNN’s Pipeline will Stream for Free.‘
In a story in today’s Wall Street Journal (free content) today that focuses on a new CNN initiative with Internet Broadcasting, a Minneapolis-based company that publishes the web sites for 70 local television stations, CNN has secured rights to use local stories from these affiliates, and will in turn provide content to them. As part of the deal, CNN is also taking a minority equity stake in the company. But an interesting tidbit can be found in the last paragraph of the article:
This summer, CNN also is planning to roll out a redesigned Web site that makes all its live and archived video content available free, shifting the subscription model to an advertising model.
And yes, my team has been working tirelessly on this effort for the last six months or more. I believe it’s a game-changer – the product formerly known as Pipeline (reviewed by PC Magazine at launch as ‘the most impressive video offering the Web has ever seen’) is moving to a free model, and when news is happening, I can’t imagine anyone not turning to this product if they don’t have direct access to a television but are online.
The article also talks at length about how much local market online advertising has grown relative to the overall interactive business, something on the order of 200% v. 70% over the last few years according to eMarketer stats cited in the story. This deal helps CNN in this area, and ideally increases traffic (and advertising rates) for both properties. By way of comparison, the article points out that IB has an audience of 13mm, versus CNN.com’s 27.9, and Yahoo and MSNBC.com’s 33.1mm.