Google has rejected Rupert Murdoch’s plan to charge users for access to News Corp online content.
Google chief executive, Eric Schmidt said publishers of general news would find it hard to charge for their content online, because there is too much free content available.
Speaking to a group of British broadcasting executives via video link, Schmidt said: “In general these models have not worked for general public consumption because there are enough free sources that the marginal value of paying is not justified based on the incremental value of quantity.”
However he admitted that niche providers of business news may be able to succeed in this area.
Murdoch announced in August that News Corp may start charging consumers for online newspaper content to promote quality journalism.
“Quality journalism is not cheap and an industry that gives away its content is simply cannibalising its ability to produce good reporting,” he said.
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News Corp may charge for online content