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Dana Dana Blankenhorn has been a business journalist for over 25 years and has covered the online world professionally since 1985. He founded the "Interactive Age Daily" for CMP Media, and has written for the Chicago Tribune, Advertising Age, and dozens of other publications over the years.
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Moore’s Law defines the history of technology. It held that the number of circuits etched on a given piece of silicon could double every 18 months as far as its author, Intel co-founder Gordon Moore, could see. Moore’s Law has spawned constant revolutions since then, not just in computing but in communications, in science, in a host of areas. Moore’s Law applies to radios, and to optical fiber, but there are some areas where it doesn’t apply. In this blog we’ll take a daily look at new implications of Moore’s Law in real time, as it rolls forward to create our future.
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May 25, 2005

The News Cartel

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Posted by Dana Blankenhorn

local-news.jpgOne of the most interesting ideas I heard at the recent Blognashville event was Glenn Reynolds' suggestion of "local blogs." (The image is from Notbored.)

I looked into it. Won't work.

Local blogs don't scale, except in a small number of instances, in localities that are in fact quite large. You can, in theory, have New York blogs, covering the whole city, but how local are we talking about?

There's not enough of an audience for a single local blogger to cover, say, school board meetings, or crime, or even business, and bring in any money at all.

The answer to scale is comprehension. But that brings its own problems.

By comprehension I mean covering everything on one site. Bring in data sources like real estate transactions, lawsuits, deaths, calendars, etc. And build a business model based, not on advertising, but on enabling local merchants to step into e-commerce in comfortable ways, say by converting Web orders for pizza into phone calls or cell phone alerts with data.

There is, in fact, a lot of money to be made in enabling car dealers to locate good prospects, in helping real estate agents find real buyers, and in helping local stores take baby steps like newsletters that can build loyalty.

rss-made-easy.jpgThe problem lies on the cost side of the house. Most local newspapers don't have RSS feeds. They don't want their content "syndicated" on the Web. They want people to buy the paper or go through their home page. In larger towns registration requirements are added, firewalls aimed at keeping content in.

That's not all. While blogger density is fairly high in cities, you're going to find it much lower in towns. This is partly a function of numbers. Cities have lots of people, thus lots of bloggers. Towns have fewer people, thus fewer bloggers.

So any data you get must replicate the entire process, at the entire cost, of an existing newspaper, without first having a viable business model. And you're still only serving a portion of the audience, that small portion that has regular Web access.

In other words local news blogging is still some distance away.

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