There have been rumors that The Daily might be facing some serious cutbacks, after reports came out that the publication was losing more than $30 million per year, and it looks like things have officially begun to go south.
Today The Daily laid off a third of its staff, firing 50 of its 170 employees, which may be just the first step towards a complete shutdown after the November 6th elections.
The Daily, which was originally formed to create an entirely digital newspaper for the iPad, had a strong start. News Corps. officials like Rupert Murdoch bet heavily on the app, imagining it as an example for other newspapers transitioning to the digital era.
Unfortunately, though the paper received more than 100,000 subscribers, it was unable to live up to its ambitious beginnings.
Employees covering the editorial page and sports will face the most serious cutoffs, as The Daily is planning to axe its Opinion section all together. Sports will be covered by third party content providers.
This is News Corp. had to say about the layoffs: “The changes announced today at The Daily will enable the business to operate more efficiently and with even greater focus on the types of content that consumers have gravitated towards since its launch. News Corporation remains committed to The Daily, and the publication will continue to be an important part of our leading portfolio of publishing brands going forward.”
Will The Daily survive, or is this the beginning of the end?