In a decisive move to adapt to the evolving media landscape, CNN's new CEO, Mark Thompson, is spearheading a comprehensive overhaul of the network's operations. Thompson, who took the reins in October, is steering CNN towards a more integrated approach by combining all of its newsgathering operations into a single unit that will cater to TV, streaming, and digital platforms.
The first major step in this transformative journey, as outlined in a recent memo, involves streamlining operations to create a unified front across various mediums. This strategic move is aimed at positioning CNN to meet the challenges of the digital age and enhance its competitiveness in the rapidly changing media landscape.
Thompson is not only focusing on operational integration but is also keen on exploring innovative revenue streams. In an interview, he expressed a desire to monetize CNN's offerings, with potential avenues including subscriptions. He is particularly interested in optimizing the viewing experience for mobile users, acknowledging the popularity of the vertical format among younger audiences.
While Thompson is open to various ideas, including those that proved successful during his tenure at the New York Times, he emphasized a focus on news as the central proposition for CNN. He dismissed the notion of immediately launching subscription products in areas like travel and health, stating, "I think we need to look at it honestly—I think you might want to start with news."
Thompson's approach reflects his experience at the New York Times, where he successfully navigated the transition from print to digital and substantially grew the digital-subscriber base. CNN faces a similar challenge as its traditional revenue source, cable subscriptions, faces threats from the growing trend of cord-cutting.
The recent expansion into streaming, with the launch of CNN Max, comes after the short-lived CNN+. While the cable-TV business also contends with challenges, Thompson acknowledges the need for CNN to adapt to a changing viewership landscape. Despite facing stiff competition and lower prime-time viewership compared to rivals like MSNBC and Fox News, Thompson remains focused on reshaping CNN's trajectory.
Addressing criticisms, Thompson defended CNN's decision to call the Iowa caucus for Donald Trump early, citing the decision desk's access to sufficient vote information and entry poll numbers. Thompson's involvement in editorial decisions underscores his hands-on approach as both CEO and editor in chief.
The recent memo from Thompson also introduced key personnel changes, with Alex MacCallum joining as the executive vice president of digital products and services. Thompson expressed a willingness to experiment with direct-to-consumer relationships and potential paying relationships, emphasizing the importance of adapting to a broader digital landscape.
As CNN under Mark Thompson embarks on this journey of transformation, the media industry will be watching closely to see how the network navigates the challenges and opportunities presented by the digital age. While specific plans and business models are yet to be unveiled, Thompson's proactive stance signals CNN's commitment to evolve and thrive in an ever-changing media landscape.
