When Mark Thompson took over as the head of CNN last fall, replacing the disastrous one-year reign of Chris Licht, he looked to the future. He didn’t like what he saw.
Thompson told staff back then that CNN was “nowhere ready for the future.”
Thompson knew two things: that CNN was best known for its linear TV product, and that the future is not linear TV. He said, “For most people under retirement age, the first place they turn for news is their phones, not their TVs. And news players who can’t or won’t respond to that revolution risk losing their audience and their business.”
On Wednesday, Thompson laid out his plans that he hopes jump-starts the network out of the past and into what’s next.
Cable TV still makes money, but cord-cutting has made it a shrinking business. So Thompson now sets his sights on a world outside of television. Calling it a “true multimedia strategy,” Thompson is combining all of CNN’s news operations (international, domestic and digital news) under one umbrella that will serve its TV, streaming and digital platforms.
In a memo to staff, Thompson wrote, “So far CNN has been slow to respond to the challenge. Perhaps that’s not surprising: the CNN of today is no longer that buccaneering outsider but a tenured incumbent. You still see our strength when big stories break. We still sport brilliant on-air, digital and producing talent and have one of the world’s most visited news websites. But, despite all these strengths, there’s currently too little innovation and risk-taking. Like so many other news players with a broadcast heritage, CNN’s linear services and even its website can sometimes have an old-fashioned and unadventurous feel as if the world has changed and they haven’t.”
Thompson wrote in his note, “For many people today, the smartphone is a more important device for consuming news than the TV. Their news primetime is in the morning, not the evening. Video remains key but the news video that most people under 40 watch is vertical not horizontal and, because neither we nor any other established news provider offer a compelling video-led news experience, they often find their news on generic video and social apps. Many get to know CNN reporting and CNN anchors on YouTube or TikTok without connecting them with CNN at all.”
A key for CNN, however, is understanding exactly how to serve an audience that consumes news through their phones. In an interview with The Wall Street Journal’s Isabella Simonetti, Thompson said, “I don’t think anyone’s yet cracked the code on how that translates, truly translates to a great news experience.”
Thompson also told Simonetti that if CNN “can figure out a way of doing that and make sure it’s a high quality, differentiated product,” the people should be willing to pay for it.
He also referenced subscriptions in his memo, writing, “Technology may be disrupting our traditional revenue, but it offers us many new opportunities to reach audiences and deliver the kind of quality journalism they will pay for.”
In addition, Thompson told Simonetti, “I’m not even sure that subscription is the right pathway for CNN. But I do think we need to start experimenting and exploring in the broader sense direct-to-consumer relationships and potentially direct-to-consumer paying relationships.”
This does not mean he is giving up on the regular CNN cable network that viewers watch on TV. Far from it. After Thompson laid out some of his strategies about digital, he wrote, “… it’s only natural for someone who currently works on the TV side at CNN to ask themselves whether I’m ever going to turn to them. Don’t worry. At their frequent best our domestic and global TV schedules are one of the jewels in our crown and I believe that linear TV will play a central and vital role in CNN’s success as far out as the eye can see.”
When and exactly how CNN is going to do all this is still not known publicly. He told Simonetti, “These things take time.”
But it remains a critical time for CNN, as it has slipped in the cable news ratings behind Fox News and MSNBC. Thompson noted in his memo, “The shift from linear broadcast to digital means that the audience for all news channels on US cable has fallen by roughly a fifth in just the past two years.”
Thompson finished off his memo (which you can read in Ted Johnson’s piece for Deadline) with a bit of pep talk, writing, “There’s news of a fair amount of change at CNN in this memo, and no doubt more in the coming months. Change is essential if we’re to secure this great news company’s future. It brings uncertainty — that I’m afraid is inevitable — but in my experience, it’s also often rich in personal and shared opportunity. As we enter this new chapter in CNN’s storied history, I’d encourage you to take a leaf out of Ted Turner’s book. Let’s build with confidence. Let’s fulfill our mission. Let’s learn some new tricks. Let’s look after each other. Let’s have some fun.”
In charge
Among Thompson’s changes were the announcements of leadership positions.
First, Alex MacCallum comes on board as CNN’s executive vice president of digital products and services.
She comes from The Washington Post, where she was chief revenue officer overseeing subscriptions, partnerships and advertising. Before that, she was at CNN, where she helped with the ill-fated CNN+ — the streaming service that was shut down after one month. And before that, MacCallum spent eight years at The New York Times, where she led the development of The New York Times’ Cooking and Games subscription products. She also spent time overseeing NYT Video.
Meanwhile, CNN executive Virginia Moseley has been named executive editor, the first such position in the network’s history. In addition, CNN international news chief Mike McCarthy was named managing editor.
That’s not debatable
As expected, CNN has canceled a Republican presidential debate that had been scheduled for Sunday in New Hampshire. Candidate Nikki Haley said she would not participate in any more debates until former President Donald Trump also agreed to participate. Trump has yet to participate in any of the Republican debates this election cycle and is not expected to attend any future ones, either.
Haley said earlier this week that her next debate would have either Trump or President Joe Biden.
CNN announced the cancellation of the debate one day after ABC canceled a debate that was scheduled for tonight.
However, CNN did announce that it will hold a town hall with Haley tonight at New England College in Henniker, New Hampshire. CNN anchor Jake Tapper will moderate.
Follow the stream
Last week, the NFL aired a playoff game exclusively on NBC’s subscription streaming service, Peacock, and football fans lost their minds. They yelled, essentially: “How dare the NFL, which practically prints money, put a game on Peacock, where only subscribers can watch?” It was a marquee matchup between the Kansas City Chiefs and Miami Dolphins played in sub-zero temperatures and it wasn’t on regular TV.
Viewership — which includes Peacock, local NBC affiliates in Kansas City and Miami, and the NFL+ mobile app — drew 23 million viewers. Other playoff games over the weekend drew between 29 million viewers and 40 million viewers, which is how many watched the Dallas Cowboys lose to the Green Bay Packers.
There were some estimates that by putting the game on Peacock, the NFL cost themselves between 10 and 12 million viewers. But that’s a short-sighted way to look at it.
As Awful Announcing’s Sean Keeley smartly wrote, “If there is any entity in America that has absolutely no problem missing out on 10-12 million viewers to create an entirely new revenue stream, it’s the NFL. More specifically, they’re the ONLY entity in America that could even attempt it.”
Did the game draw 30-some million? No. But is 23 million a really good number for trying a new product? You bet. Big enough that the NFL now knows this is going to work in the long run.
Keeley wrote, “Trust us when we say no points were proven last weekend. No lessons were learned. Unless you’re referring to the fact that the NFL and its new base of broadcasting partners saw proof of concept for their business models. Complain all you like, it won’t stop what’s coming. And it won’t stop you from watching.”
Meanwhile, before I wrap up this item, I wanted to point to my favorite headline of the day. From Awful Announcing: “Howard Stern Complains About NFL Games On Streaming Services, While Broadcasting On a Streaming Service.”
Sad news
I should’ve mentioned this before now, but Tom Shales, the Pulitzer Prize-winning TV critic from The Washington Post, died Jan. 13. He was 79. His caretaker told the Post that Shales died of complications from COVID-19 and renal failure. He started as the Post’s chief television critic in 1977 and his column was syndicated in dozens of papers across the country.
Here are two really good remembrances that capture Shales’ work:
- The Post’s Adam Bernstein and Brian Murphy with “Tom Shales, Pulitzer-winning TV critic of fine-tuned wit, dies at 79.”
- The New York Times’ Alex Williams with “Tom Shales, TV Critic Both Respected and Feared, Dies at 79.”
Media tidbits
- Poynter media business analyst Rick Edmonds with “Alden finds a formula to make money two ways on the sale of The Baltimore Sun.”
- Axios’ Sara Fischer with “Sheryl Sandberg to exit Meta’s board.”
- For Elle, Wendy Kaur with “Kaitlan Collins Is in Her Prime.”
- Variety’s Todd Spangler with “Pitchfork Is Being Folded Into GQ, as Condé Nast Seeks ‘Best Path Forward’ for Music Publication.”
- Video from The Wall Street Journal: “Evan Gershkovich’s Parents Share How He’s Coping in Russian Prison.”
- I love this story: AL.com’s Mark Heim with “Meet 12-year-old Finebaum caller who broke news Kalen DeBoer would be next Alabama coach.”
- Awful Announcing’s Ben Axelrod with “The Sporting News lays off multiple writers.”
Hot type
- ProPublica’s Craig Silverman and Peter Elkind with “How Walmart’s Financial Services Became a Fraud Magnet.”
- Vice’s Tim Hume writes about Karim Mahmoud in “Leaving The Real World: How I Escaped Andrew Tate’s Get Rich Quick ‘Cult.’”
- The New York Times’ Kyle Buchanan with “What Will Be Nominated for Oscars Next Week, and What Won’t?”
More resources for journalists
- The 2024 Poynter Journalism Prizes are now open for entries. To enter, go to the contest website. The deadline for entries is Feb. 16.
- Transforming Local Crime Reporting Into Public Safety Journalism (Seminar) — Apply by Jan. 30..
- Delve more deeply into your editing skills with Poynter ACES Intermediate Certificate in Editing. Start anytime.
- Empower your storytelling skills with Beat Academy 2024 (Webinar series) — Feb. 1-Sept. 26. Enroll now.
Have feedback or a tip? Email Poynter senior media writer Tom Jones at tjones@poynter.org.
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