Time Inc, News Corp link up to sell digital content

Time Warner Inc’s Time Inc, News Corp, Hearst Corp and other publishers formed a joint venture to sell news and information to readers on digital devices starting next year. The publishers will sell digital magazines and newspapers through a virtual store, John Squires, Time Inc’s executive vice president, said in an interview. The venture, which has yet to be named, also includes magazine publishers Meredith Corp and Advance Publications Inc’s Condé Nast. Publishers have been seeking new sources of revenue to counter falling advertising sales and a circulation slide as readers seek more news and information online. Hearst last week announced a similar service, called Skiff. The joint venture may ultimately allow bundling of subscriptions with ink-and-paper editions, said Squires. “We think people will still read printed publications.” Combined circulation for 521 consumer magazines including Condé Nast’s Vogue and Hearst’s Esquire dropped 1.2 per cent to 339.6 million copies in the first half of 2009, according to Audit Bureau of Circulations data. In 2008’s first half, magazine circulation was little changed from a year earlier at 343.7 million.