{"id":350,"date":"2004-07-08T06:55:59","date_gmt":"2004-07-08T06:55:59","guid":{"rendered":"http:\/\/zmetro.com\/?p=350"},"modified":"2004-07-08T06:55:59","modified_gmt":"2004-07-08T06:55:59","slug":"microsoft_monopoly_tactics_in_the_newspaper_business_old_media","status":"publish","type":"post","link":"https:\/\/www.zmetro.com\/?p=350","title":{"rendered":"Microsoft Monopoly Tactics in the Newspaper Business (&#8220;Old Media&#8221;?)"},"content":{"rendered":"<p>Local print media monopoly, <a href=\"http:\/\/www.capitalnewspapers.com\/\">Capital Newspapers<\/a> (prints and generates advertising for the Wisconsin State Journal and the Capital Times) has <a href=\"http:\/\/www.madison.com\/wisconsinstatejournal\/biz\/77883.php\">announced a new weekly<\/a> publication that targets long time, successful weekly <a href=\"http:\/\/www.thedailypage.com\">Isthmus<\/a>.  Capital Newspapers, protected by a federally sanctioned joint operating agreement (<a href=\"http:\/\/www.google.com\/search?hl=en&#038;ie=UTF-8&#038;oe=UTF-8&#038;q=newspaper+joint+operating+agreements&#038;btnG=Google+Search\">Newspaper Preservation Act of 1970<\/a>: the JOA allows two newspapers to &#8220;share&#8221; advertising, overhead and printing costs) is using those monopoly derived funds to compete with a traditional, non protected business &#8211; Isthmus publishing.<br \/>\nThis is similar to a  tactic that Microsoft used, illegally, to <a href=\"http:\/\/www.google.com\/search?hl=en&#038;ie=UTF-8&#038;q=microsoft+monopoly+netscape&#038;btnG=Google+Search\">squish Netscape<\/a>.  See Lee Enterprise&#8217;s (owns 50% of Capital Newspaper) 2003 10-K (<a href=\"http:\/\/www.zmetro.com\/pdf\/042004\/lee2003-10k.pdf\">286K PDF<\/a>) for a look at the Capital Newspapers (formerly known as Madison Newspapers Inc) local revenues (112M!) and net income of $16M (14%!).<br \/>\nPerhaps this is simply a negotiating\/acquisition tactic?  Capital Newspapers would likely enjoy acquiring Isthmus Publishing and thereby solidify control of the local print advertising business.   This tactic has been used before, with a local business weekly and a children&#8217;s (Dane County Kids) publication.<br \/>\nWhat to do?  <a href=\"http:\/\/www.google.com\/search?hl=en&#038;ie=UTF-8&#038;q=%22vince+o%27hern%22+isthmus&#038;btnG=Google+Search\">Vince<\/a> and <a href=\"http:\/\/www.google.com\/search?hl=en&#038;lr=&#038;ie=UTF-8&#038;c2coff=1&#038;q=%22linda+baldwin%22+isthmus&#038;btnG=Search\">Linda<\/a> and the Isthmus have done a superb job for the community.   Send a note to our representatives (<a href=\"http:\/\/tammybaldwin.house.gov\/\">Representative Tammy Baldwin<\/a> | <a href=\"http:\/\/feingold.senate.gov\/\">Senator Russ Feingold<\/a> | <a href=\"http:\/\/kohl.senate.gov\/\">Senator Herb Kohl<\/a>) telling them that the time is long past to repeal the Joint Operating Agreement Statute.  And <a href=\"http:\/\/www.capitalnewspapers.com\/readers\/subs_msn.php\">cancel your subscription<\/a> (if you have one) to the State Journal or Cap Times.<br \/>\nUPDATE &#8211; the act is certainly not helping quality, as <a href=\"http:\/\/instapundit.com\/archives\/016458.php\">Glenn Reynolds points out<\/a>.<br \/>\nUPDATE2 &#8211; Perhaps this is the natural manifestation of the Clear Channel effect in Radio &#8211; played out in the newsprint business.   Madison is fortunate to have two dailies &#8211; BUT &#8211; they should compete like anyone else, which would change things, significantly.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Local print media monopoly, Capital Newspapers (prints and generates advertising for the Wisconsin State Journal and the Capital Times) has announced a new weekly publication that targets long time, successful weekly Isthmus. Capital Newspapers, protected by a federally sanctioned joint operating agreement (Newspaper Preservation Act of 1970: the JOA allows two newspapers to &#8220;share&#8221; advertising, [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[6,23],"tags":[],"_links":{"self":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/350"}],"collection":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=350"}],"version-history":[{"count":0,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=\/wp\/v2\/posts\/350\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=350"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=350"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.zmetro.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=350"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}