"Hail Mary" or embracing the future? Time will tell. Early Internet, online magazines were thrilled to get traffic from Google (and Yahoo, and AskJeeves, and Lycos, and Altavista). Couldn't wait to get their sites crawled and get those clicks. Then at some point newspapers started saying (a) "hey shouldn't Google be paying to feature our snippets?" and (b) there's no route to financial stability without paying subscribers. Time Magazine, arguably among the most notable magazines of the 20th Century, has thrown in the towel on subscriber paywalls. And rather than embrace a strategy of hoping ChatGPT notices their content, they're proactively cutting a deal to let the AI beast crawl their archives and be prepared to answer user queries. And write new content? Well at least not in this announcement, but you can bet the chief execs are thinking that. It also helps that there's no one to sue at ChatGPT, unlike Google. When Google started making that sweet, sweet paid search money, there were a lot of hungry mouths to feed (remember "Buzz"?) If publishers get mad at ChatGPT, they'll be reminded that as a non-profit there's not a lot of juice in that lawsuit. Publishing is hard. Paid subscribers are scarce and cheap. So is Time throwing in the towel on financial stability, or embracing the inevitable? Time will tell. :-)
They are embracing the inevitable. These types of deals will result in a significant shift in content development and distribution. As publishers continue to adopt AI to create content at scale. Regulatory bodies will have to ensure that ethical guidelines are strictly followed to prevent privacy concerns. For OpenAI, this is just the tip of the iceberg, as AI adoption grows, they will diversify revenue streams by negotiating better deals, charging higher referral fees, and monetizing through advertising rather than the current subscription based model.
I've felt this a couple of decades ago working in the internet arm of a brick and mortar print product. Once the genie is out of the bottle, it can't be put back. Our organization never made up the money lost from casual subscribers that just decided to read things for free online. I see it as throwing in the towel, to be honest.
OpenAI has a non-profit org and a for-profit org. There very much is someone to sue (the C-Corp half), and they have a lot of dollars to sue for.
Kevin Bartus What if we think we understand the future, but Time Inc. has known all along? I still think #Time definitely knows what they're doing... "No."
I guess this will prove if Artificial Intelligence is an oxymoron.
Embracing the inevitable…..
Throwing in the towel. They still have their incredible photographic library. Henry Luce is rolling in his grave!
AI is not good at everything, but one thing it does really well is aggregate search results and provide answers in easy-to-consume prose. (With somewhat unreliable accuracy, for those who care about that.) Therefore, search traffic as we once knew it in the online publishing world is a thing of the past, like it or not. Which also means that we are now at a pivot point, and the actions now of the most prestigious and most powerful players, such as Time, the Atlantic, the NYT, etc., are going to set the standard for the foreseeable future. I also think that back at the turn of the century, major players in the publishing world shot themselves and the rest of us in the foot by not recognizing the value of online content. A mistake that's near impossible to recover from because consumers now believe that online content should always be free. Let's hope the ones making these decisions today are doing so wisely.