The Query: featuring news and analysis on the media by Claire Atkinson

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The Query

John Skipper's DAZN looking to punch its way into OTT

Some people might know billionaire Len Blavatnik as the owner of Warner Music and France’s streaming music service Deezer, but he’s also behind a company attempting to upend the direct-to-consumer sports business.

Blavatnik, together with former ESPN president John Skipper, operate a company called Perform Group, which runs DAZN (pronounced "Da Zone"). The streaming service is getting its a big test this weekend, streaming its first major sports event — a boxing match between Anthony Joshua  and Alexander Povetkin.

The service is $9.99 per month (first month is free) and offers live and on-demand streaming of boxing matches and mixed martial arts as well as other library programming. Joseph Markowski, head of DAZN North America, told The Query the company is aiming to compete with the pay-per-view boxing matches that typically cost $70 to $100. The streamer is advertising this weekend's match via digital media to win sign-ups.

“We’re not just competing with ESPN+, we’re competing with ESPN,” Markowski said.

He said the firm’s exclusive focus on streaming gives it a leg up versus other broadcasters who have to worry about cannibalizing their TV distribution revenue.

DAZN aims to be in the ring when it comes to negotiating for big sports rights when they are available, though Markowski declined to name any. He said DAZN has plans to grow well beyond its origins in the fighting realm, and we should expect to hear a lot more about their sports offering in the coming months.

Can it challenge a plethora of sports streamers already in the market both from the leagues and their TV partners as well as a possible move by a Facebook, Google or Amazon? Blavatnik’s pockets are pretty deep.

The Hollywood Reporter's power list is changing, thanks to #MeToo

The #MeToo movement and the broader push for diversity in the entertainment industry are starting to have an effect on power dynamics in Hollywood.

The Hollywood Reporter's annual 100 list released on Thursday is missing a host of influential names felled by the #MeToo movement. No longer on the list are former CBS Chief Executive Leslie Moonves, Pixar's former chief John Lasseter, producer Brett Ratner and Amazon's former studio head Roy Price.

Matthew Belloni, Hollywood Reporter editorial director, said that the list includes 35 women and people of color, a big change from prior years. He said the list was less a reflection of the magazine's desire for inclusion and more about who's got "juice" in the entertainment industry. 

"Women and people of color are having big success. Ryan Coogler (director) and Michael B. Jordan (actor) from 'Black Panther,' that's a reflection of the massive success of that film. They are two names that constantly come up," Belloni said. "Tiffany Haddish and Lin-Manuel Miranda are the same. Roy Price is off the list, and that allowed Jennifer Salke to go up." Salke is the head of Amazon Studios.

The New Yorker's Ronan Farrow, who has arguably had a bigger effect on who's up and down in Hollywood than any other force in the past 12 months, joined the magazine's top 100 for the first time, after Moonves was taken off the list at the last minute after he left CBS

Disney CEO Bob Iger tops the list for the third time in a row.  

Belloni said he has spent the day fielding angry emails and complaints about the list.

"Some in old-school Hollywood think there are personal agendas and there's back room dealing," he said, but added that the people at the top of the list, such as Netflix CEO Reed Hasting are there because they are buying. "They're excited about people who are spending a lot of money.”

Amazon charges up online ad rankings

Amazon’s advertising business is growing so fast that measurement firm eMarketer is now predicting it will be the third-biggest digital ad sales entity by the end of the year, behind behemoths Google and Facebook.

On Wednesday, eMarketer revised an earlier projection published in March that had Amazon coming in fifth behind Microsoft and Verizon’s Oath, which includes AOL and Yahoo. 

Amazon is now expected to book more than $4 billion in ads. The company’s popularity among advertisers is driven in part by consumers' shift to conducting product searches on Amazon and the firm’s two-day shipping service. Amazon is also selling ads on its streams of NFL Thursday Night Football and its gaming destination Twitch.

The report states that Amazon is projected to generate $4.61 billion in advertising revenue versus an earlier year-end forecast of $2.89 billion.

Notably, Google and Facebook’s share of the pie shrinks, according to this forecast. The so-called “duopoly” will take a 57.7 percent share of digital ad revenue in 2018 versus 59.2 percent last year, with smaller players also capturing some of the market.

Woodward book on Trump is a record breaker

"Fear," is officially a record breaker.

Bob Woodward's book about disarray in the Trump White House recorded first-week sales of 1.1 million in all formats, a record for publisher Simon & Schuster.

The last record holder was Walter Isaacson's "Steve Jobs" biography, according to the publisher. That book sold 379,000 copies back in November 2011.  

"There is only one word to describe the sales of 'Fear' - and that word is huge," said Jonathan Karp, president and publisher of Simon & Schuster, which is part of CBS Corporation. "What's especially gratifying is the appreciation readers and reviewers have for the integrity and importance of Bob Woodward's reporting."

The publisher has ordered a 10th printing, bringing the number of hardcover copies in print to 1.2 million. First day sales were 900,000, the company said in a statement.

Still, the book, only its second week on sale, is already fading from the news cycle as another title about President Donald Trump has emerged — this one from Stormy Daniels, who claims she had an affair with Trump more than a decade ago. Her book, "Full Disclosure," published by St. Martin's Press, is now attracting headlines after The Guardian wrote about its contents.

And there's more Trump-related books on the way. Earlier today, the Associated Press reported that former FBI official Andrew McCabe has signed a book deal for "The Threat: How the FBI Protects America in the Age of Terror and Trump," out on Dec. 4.  

Will more tech investors step up for print media?

Staff and former editors of Time Magazine are celebrating the news that Marc Benioff, the Salesforce CEO worth $6.6 billion, and his wife Lynne Benioff are acquiring the iconic magazine from Meredith Corporation.

Richard Stengel, who ran the newsweekly between 2006 and 2013, told that was happy to hear about the acquisition.

"It sort of like a dream come true in the sense of here's a tech billionaire who believes in the brand and in impartial news coverage and growing Time both domestically and internationally and doesn't want to play an editorial role," Stengel said. "It's the best of all possible worlds."

Nancy Gibbs, who was the first woman editor of the magazine from 2013 to 2017, said: "I'm over the moon, because obviously we've been living with uncertainty for a long time and hoping for the best outcome.

"What struck me, is this is not some bloodless business transaction," Gibbs said. "You can feel the passion and the purpose that he and Lynne bring to this."

Gibbs said she met Benioff, who is spending $190 million on the magazine, at a dinner in Davos, Switzerland, when she was running the Time Inc. news group. 

Gibbs, who is now the Edward R. Murrow Chair of Press, Politics and Public Policy at the Harvard Kennedy School, added: "When it comes to imagining a new future, I can't imagine a better steward. I'm thrilled for my colleagues and readers and everyone who spent so much of our careers there and rooting for the best possible outcome."

Time magazine's editorial staff were also celebrating the change in ownership on Twitter. Chris Wilson, the director of data journalism, tweeted: "I'm delighted that it will be in wise and benevolent hands with the Benioff family."

Columnist Susanna Schrobsdorff tweeted: "There's no better owner for Time and no better time to own Time."

Recode noted the magazine sent the famed bar cart around the office to celebrate.

Benioff said in a text message exchange with a New York Times reporter — conducted while he was receiving a massage — that Time is still in a strong financial situation. "It's a very strong business," he reportedly texted. "Very profitable."

The WSJ reported on Monday that Time is projected to see a 9 percent decline in revenue in 2018 from $173 million in 2017.

Jennifer Grygiel, assistant professor of communications and magazine at Newhouse School, wondered about the all-round rejoicing given tech's role in wrecking the traditional economics of publishing. 

"I am not one of those people who are celebrating the sale of legacy publishing to a tech insider," Grygiel said.

While she says Benioff is well liked because of his stance on human rights and same sex marriage, legacy publishing has been decimated by tech disruption. 

While Amazon CEO Jeff Bezos and philanthropist Laurene Powell Jobs have shown what investment and expertise can do for publications such as The Washington Post and The Atlantic, other wealthy individuals have found publishing a tough road and have given up their investments. 

Facebook co-founder Chris Hughes sold The New Republic after a rocky period of ownership, and billionaire Joe Ricketts folded DNAInfo after he couldn't find a way to make it profitable. Peter Barbey, a wealthy investor, said he would sell The Village Voice just three years after buying it.

Still, Grygiel said there may be more Silicon Valley luminaries headed for the publishing world. Alibaba's Jack Ma acquired the South China Morning Post, while Pierre Omidyar, the eBay founder, created The Intercept. 

Meredith is looking to sell other major magazine titles including Fortune, Money and Sports Illustrated.

Online video viewing continues to rise, says research firm Magid

Magid Advisors President Mike Vorhaus gave one of the most popular presentations at Goldman Sachs' annual Communacopia conference on Thursday. No prizes for guessing it was about the explosion of online video trends and cord cutting.

Vorhaus said that three-quarters of all internet users are now paying for a subscription video service, and online video viewing is up 8 percent per year.

The presentation also suggested that there's more consumer demand for smaller selections of cable channels, or skinny bundles, a point also brought home by Discovery Communications CEO David Zaslav, who confirmed his company has a deal to provide a host of its TV channels to smaller online bundles offered by Hulu and Sling TV.

But Vorhaus also touched on the topic of China, asking how many investors in the media had actually visited the country that is likely to be the lead topic of earnings presentations in the not-too-distant future. By his count only a quarter of the audience responded that they had.

Vorhaus told The Query that the Chinese digital middle class is around 700 million people, while there's another 600 million blue collar workers who will be digitally connected in the coming years.

"If you claim to cover a U.S. studio and you don't know about China, you are out of touch," he said. "There is this whole image that it is very agricultural.

He noted there are more than 150 cities in China with a population of one million or more.

Still, he noted that even Chinese players such as Tencent are still operating at the whim of government rules. Tencent stock dropped last month after the Chinese government banned the content of one of its games. Here's how CNBC covered it. Tencent Holdings also owns RIOT Games which produces the popular "League of Legends" computer game.

Magid Advisors
Magid Advisors

Take-Two Interactive CEO on challenges in China

The CEO of games publisher Take-Two Interactive, Strauss Zelnick, used his perch at the Goldman Sachs Communacopia conference on Thursday to launch a broadside against China.

Zelnick, a newly appointed board member at CBS, told investors of the many hurdles of growing the gaming business while Chinese companies can operate without any challenges.

"We have a completely odd and unequal situation where Chinese companies can come to the U.S. and buy companies no problem in our space," he said. "And if they don't want to do that, they can bring a title here and market it and keep all the proceeds."

Zelnick added: "In order to go to China, we've have to have half our business owned by a local company in China. The good news is they provide expertise. We are in business with companies like Tencent and we are thrilled to be in business with them, but we don't have a choice to be clear."

The Take-Two chief executive added that the firm needs government approvals to launch games in China, which in itself is a political process, and added: "China's been stealing our intellectual property for a really long time. Those things just have to change." 

So far, the tariff wars with China have not included any measures involving the entertainment sector to any large extent, but Zelnick wants to see some changes. "I'm not sure why the U.S. government thinks that it's an OK thing to do with our sector." 

Here's the link to the webcast to listen to the full session, and here's a link to Zelnick's CNBC interview where he talks about the need for boards to have good compliance, a clear reference to CBS. 

Zelnick also used the stage to promote his new book, “Becoming Ageless,” which drew a few laughs from the crowd. 

Survey shows Kaepernick campaign has already taken a toll on Nike

Nike’s new ad campaign featuring former NFL quarterback Colin Kaepernick is tanking the company’s favorability ratings, according to a survey from Morning Consult, a polling company.

The company, which surveyed more than 8,000 people before and after the print and TV ads were released earlier this week, said that Nike’s favorability ratings have dropped sharply.

"Before the announcement, Nike had a net +69 favorable impression among consumers, it has now declined 34 points to +35 favorable," Morning Consult wrote in its report.

The ad campaign features Kaepernick, the athlete-turned-activist who knelt during the national anthem to protest mistreatment of minorities in the U.S.

The ad copy reads: “Believe in something, even if it means sacrificing everything.” 

Kaepernick has not played for an NFL team since opting out of his contract with the San Francisco 49ers in March 2017. Since then, the NFL has been dealing with an ongoing controversy over players protesting during the national anthem.

President Donald Trump even tweeted about the Nike ad campaign.

"Just like the NFL, whose ratings have gone WAY DOWN, Nike is getting absolutely killed with anger and boycotts," the president tweeted. "I wonder if they had any idea that it would be this way? As far as the NFL is concerned, I just find it hard to watch, and always will, until they stand for the FLAG!"Morning Consult’s First Poll released on Thursday morning found:

  • Only 2 percent of Americans reported hearing something negative about Nike recently. That number jumped to 33 percent following the announcement.
  • Republicans had the biggest swing, with those "like to purchase Nike goods" declining from 51 percent to 28 percent.

There's a book about Matt Drudge on the way

Investigative reporter Matthew Lysiak has just signed a new book deal to write about one of the biggest names in conservative media: Matt Drudge.

Lysiak signed a deal for the book with his publisher, Benbella Books, he and the company confirmed on Tuesday.

There's been a lot of ink spilled about influential figures in conservative media from Infowars' Alex Jones, to Fox News' Roger Ailes, and talk radio's Rush Limbaugh, but not much is known about Drudge, a relatively anonymous figure despite his eponymous website. hit the national consciousness in January 1998 after he published an allegation that Newsweek was sitting on a story about then-President Bill Clinton's affair with a White House intern, Monica Lewinsky. 

Back then the format looked like a word processing tool. Here's a link to the original Clinton/Newsweek story. Now, Drudge Report has one main story with a photo and giant headline and three columns of links to the most gripping stories of the day. 

The website remains one of the most-read news websites, with Drudge's own website on Tuesday touting 22 million visits within the past 24 hours and some 817 million visits in the past 31 days. For many journalists, a link on Drudge means a guaranteed audience.

Lysiak, the author of "Newtown: An American Tragedy," said: "This is a man who dictated the stories we read more than any person in history. It is not just a revolution in the way we consume news. He has seized a narrative and little remains known about the guy."

Lysiak, a former New York Daily News reporter, is however having trouble reaching the man himself. He has sent a number of certified letters, he said, and reached out to friends who say they are too afraid that he'll cut them off.

The book is due out in 2019. Drudge didn't return an email request for comment.

NewsGuard gives Fox News a thumbs up, Breitbart a thumbs down

Trying to rate the trustworthiness of America's news destinations isn't the easiest task — just ask Facebook.

But NewsGuard Technologies, a digital media start-up, is working its way through thousands of publications and media outlets to allocate a green flag for good journalism or a red flag for questionable practices.

Run by the founder of Court TV, Steve Brill, and former WSJ publisher Gordon Crovitz, NewsGuard wants to bring ad dollars back to news destinations after social platforms muddied the waters about what's real and what's fake.

The aim is to replace algorithms with humans who are writing short "nutritional labels" with details about the provenance and reliability of news. 

The company has already discovered a few dilemmas; they questioned how to identify websites that simply have sports scores and websites set up by industry associations.

Steve Brill, speaking in a phone interview, added that the service has been emailing Breitbart, which currently has a red flag to help it gain a green verification.

"Breitbart is red but if it makes one change it becomes green, if it would list its owners on the website," Brill said.

Breitbart scores positive marks for five of the nine criteria that help readers determine what's trustworthy. Brill said NewsGuard received no response to its outreach. Breitbart was not immediately reachable for comment.

Rating the quality of news site will almost inevitably stir controversy, and the Nieman Journalism Lab at Harvard is already questioning the start-up's decision making process, which gives Fox News a green (for good) flag.

Still, Brill and Crovitz say they've had a lot of talks with companies in Silicon Valley and also with advertisers who told NewsGuard that they have ways to flag pornography and hate speech online but so far have found few ways to filter for fake news sites. NewsGuard flagged as a bogus service. A spokeswoman for Buzzfeed said they are aware and that they've reached out to the owner with a letter of copyright infringement.  

NewsGuard will also leap into action to provide a rating when an unknown news service is catapulted into the news.

NewsGuard is backed by advertising holding company Publicis Groupe. The company raises revenue from licensing its services, but everyday consumers can use the Microsoft and Chrome extensions, located at NewsGuard's website, to see how it works.

Owner of The National Enquirer stays silent on Michael Cohen plea

American Media, Inc., owner of The National Enquirer, has so far kept silent about the implications of Michael Cohen’s guilty plea.

Cohen, President Donald Trump's former personal attorney, pled guilty in federal court on Tuesday and said he had paid an executive from a media company to keep allegations of an affair out of the public eye — a violation of campaign finance laws. He said he did so at the direction of a federal candidate, which Cohen's lawyer later said was Trump.

Karen McDougal, a former Playboy model that has alleged she had a relationship with Trump, and her lawyers have said that the National Enquirer paid her $150,000 in August 2016 to keep her story about Trump from circulating.

Calls to American Media CEO David Pecker and the publisher’s public relations staff made Tuesday night were not returned. 

AMI executives were reportedly subpoenaed as part of the Southern District of New York’s case against Cohen. 

Court documents suggest that Pecker had an agreement to keep an eye out for damaging stories against Trump as early as 2015, according to the New York Times.

Cohen's guilty plea puts the company in an awkward position. The owner of the supermarket tabloid has been shopping around high-yield bonds with the help of bankers to raise as much as $450 million to pay off debt, according to Debtwire. The company recently spent $80 million acquiring competitive titles from Bauer Publishing, including InTouch, Life & Style and Closer. 

But audiences for The National Enquirer are on the decline. According to the Magazine Publishers Association’s 360 Report, National Enquirer’s print and digital numbers are down 19.8 percent year-to-date through June versus the same period last year. 

Whether American Media is in any legal jeopardy remains to be seen. Cohen reportedly created a shell company to pay McDougal for her story about a long-term affair with Trump and then didn’t run it, according to a 2016 article in the WSJ

The practice is known as “catch and kill," and American Media's relationship with candidate Donald Trump is thoroughly detailed in this The New Yorker article. 

Media group to FTC: rein in the tech giants

One of the biggest media trade groups has a message for U.S. regulators — it's time to act.

The News Media Alliance, which represents 2,000 news and media organizations, told the Federal Trade Commission it is fed up with big tech platforms hampering their digital businesses, and it wants the government to rein in their anti-competitive behavior.

The NMA made the comments in a letter issued ahead of the FTC's upcoming hearings on "Competition and Consumer Protection in the 21st Century."

“The news industry receives 80 percent of referral traffic from the platforms but only about 14 percent of revenue on average comes from that traffic," Danielle Coffey, vice president of public policy at NMA, said in a statement. "Something is not translating.

The filing stated that Google and Facebook dominate both the distribution and the monetization of news, since most online users get their news via search and social media.

Among the NMA's arguments:

  • “Dominant platforms use secret and unpredictable algorithms to determine whether and how content is delivered to readers."

  • The platforms have grown by serial acquisitions and exclusionary conduct. “Action by the FTC is thus needed and justified to rein in the tech giants’ anticompetitive conduct.”

  • The tech platforms are forcing policies on the news industry that threaten its viability. Google, for instance, asked news publishers to provide news stories under a "first click free" program. When the WSJ declined, its traffic fell.

The News Media Alliance had a stark warning for the FTC if no action is taken: “If the news industry is permitted to continue deteriorating as the technology platforms take over, it is almost impossible to exaggerate the consequences.”

Netflix hires 'blackish' creator away from ABC

Is Netflix on a mission to hire all of the Disney/Fox talent?

On Thursday, the streaming video giant said it signed Kenya Barris, the creator of ABC's "black-ish," to a multi-year deal to produce new series exclusively at Netflix.

The new deal comes after Netflix signed Ryan Murphy, the former Fox producer behind "American Horror Story," and ABC's Shonda Rhimes, the creator of "Grey's Anatomy," to wide-ranging content deals. Variety quoted an unnamed source saying the deal is worth $100 million to Barris.

CNBC's Michelle Castillo explained why so many producers want to work with Netflix these days — producers get more money upfront including their initial production budget plus 30 percent on top while agreeing to take less of the back-end (money made from the show after it’s released).

The Wall Street Journal's Joe Flint noted that Barris exited his ABC Studios deal after tensions about an episode involving athletes taking a knee. (ABC and ESPN are both owned by Disney.)

A casual Netflix watcher might be having a bit more difficulty locating shows given the vast amount of originals to choose from. The company is on track to make 1,000 original movies and shows by the end of the year.  

Barclays analyst Ross Sandler pointed out in a July investor report that too much content could affect the Netflix user experience: "The deluge of originals on the service can worsen user experience by making content discovery more difficult.”

One TV agent told The Query that they're starting to observe early signs of a backlash with some clients wondering about whether their content will find an audience with so much competition.


Daniel Arkin

'The Meg' highlights growing movie teamwork between U.S. and China

“The Meg,” the gleefully dumb shark thriller that took a bite out of the weekend box office, isn’t your average Hollywood project.

That’s because it’s only half a Hollywood project: The movie was co-produced by Warner Bros. and Gravity Pictures, a Chinese company.

The movie, which grossed $44.5 million in the U.S. and another $50.3 million in China, was clearly created with Chinese moviegoers in mind. It is partly set in the waters off the Chinese mainland and co-stars acclaimed Chinese actress Li Bingbing.

Why does this matter? China, home to 1.3 billion people and more than 40,000 movie screens, is the second-largest box office on the planet behind the United States. American studios are increasingly focused on making a killing there — and so that’s why traditional players like Warner Bros. are teaming up with Chinese financiers and co-producers.

Universal Pictures did something similar earlier this summer with “Skyscraper,” an action-packed riff on “Die Hard” starring Dwayne Johnson. The movie was set in Hong Kong and co-produced by Legendary, a California-based production company that was acquired by the Chinese conglomerate Wanda Group in 2016.

Universal Pictures is owned by NBCUniversal, which is also the parent company of NBC News.

“Skyscraper” was a dud in the U.S. and a moderate hit in China, where it has grossed close to $100 million.

Newspapers across the U.S. ready editorials about Trump's attacks on press

The Boston Globe and the American Society of News Editors put out the call — publish editorials on Trump's escalating rhetoric about U.S. journalists.

And the newspapers are prepared to answer. CNN's Brian Stelter reports that more than 100 publications are each prepared to publish an editorial on Thursday, which would make it one of the widest coordinated efforts in the history of American media. 

The ASNE put out the call on Thursday.

"This dirty war on the free press must end," the ASNE posted on its blog. "The Boston Globe is reaching out to editorial boards across the country to propose a coordinated response. The Globe proposes to publish an editorial on Aug. 16 on the dangers of the administration's assault on the press and ask others to commit to publishing their own editorials on the same date. Publications, whatever their politics, could make a powerful statement by standing together in the common defense of their profession and the vital role it plays in government for and by the people."

The editorials are being coordinated by Marjorie Pritchard, deputy editorial page editor at the Boston Globe.

Roku captures streaming video growth

Streaming video player Roku is capturing a big slice of the big shift to internet-delivered TV viewing, but it's not leaving advertisers behind.

What is Roku:

Roku started life as a unit of Netflix, which sold out early on, but the company still calls Netflix headquarters in Los Gatos, California, its home. Menlo Ventures and Sky Ventures also helped this company get off the ground too.

The little publicized Roku is the Spotify of streaming devices - it outsells Amazon Fire sticks, Google Chromecasts and Apple TVs, and is independently owned.

Here's Bloomberg's Tara Lachapelle with some good insights and graphics on Roku.

Roku also operates the ad-supported .

Why is it important:

Not only is Roku the biggest seller of devices that enable TV sets to stream video, it has its sights set on the growing number of advertisers looking to target consumers with household-level data sets.  

"TV advertisers are shifting budgets to OTT," the firm said in its second quarter shareholders letter. "Over time we believe the vast majority of the $70 billion annual U.S. TV advertising market will shift to streaming." Roku boasts extensive insights into its 22 million subscribers.

Roku is growing like a weed:

The company unveiled growth numbers on Thursday along with its earnings, that surprised Wall Street estimates. Roku stock shot up 21.3 percent after the bell on Thursday.

Roku added seven million accounts in the past 12 months, and average revenue per user grew 48 percent year-over-year to $16.60. The amount of content being streamed is also growing: 5.5 billion hours in the quarter, a 57 percent increase versus a year ago. 

Why is it so popular:

Roku says it's easy to use. It has two price points, either $29.99 or $105.99. Roku is also putting a new button on its home screen helping users to find free ad-supported movies and TV content across the web and splits ad revenue with content owners.

If you bought Roku last September when it's IPO price was $14 a share, then you'd be in the money today, barely a year later.  The stock was trading above $60 at lunchtime on Friday.

The most polarizing brands in America? Trump and CNN

How do you feel about the "Trump Hotels" brand? How about Fox News or The Washington Post?

The answer is that it very much depends on whether you're a Republican or a Democrat.

A new survey from Morning Consult, a polling and data analysis company, found Trump Hotels to be the most polarizing brand among Americans, with a 78-point "net favorability spread" between Democrats and Republicans. 

After that, it's quite a list of media companies: CNN, Fox News, NBC News, New York Times and MSNBC round out the next six. 

The survey, which was based on 336,370 surveys conducted online by Morning Consult from Oct. 3, 2017 to Jan. 2, 2018, highlights just how politically divisive the media has become, with Republican and Democrats disagreeing deeply about how they rank the favorability of many mainstream outlets. The chart below, via Morning Consult, illustrates just how different the two sides see many major U.S. news outlets.

Morning Consult

The New York Times now has 3.8 million subscribers

The New York Times reported its second quarter earnings on Wednesday and it had its own good news/bad news.

The good news: The Times recorded $23.6 million in quarterly profit and now has 3.8 million subscribers; 2.9 million of them are digital-only.

The publisher added 109,000 net new subscribers in the period, not quite as great as the same quarter last year when the Times signed 114,000 net new subscribers. Subscription revenue is now two thirds of all revenue.

The bad news: Print advertising is down 11.5 percent, and digital ad revenue fell 7.5 percent. Daily circulation fell 10 percent. That was enough to send Times shares down 5.1 percent to $23.05 in afternoon trading.

The Times also spent a lot of money re-organizing its seating. The company took a $1 million charge related to "the redesign and consolidation of space in our headquarters building."

The paper said it has leased four and a half of the seven floors it has made available to rent. Here's what the company CEO Mark Thompson had to say about the period.



Journalists fire back at Twitter CEO about role of press in countering conspiracy theories

Journalists had a lot to say about Twitter CEO Jack Dorsey on Wednesday morning — and most didn't like Dorsey's assertion that the role of the press was to offer a check on the conspiracy theories of Alex Jones' InfoWars.

Dorsey explained on Tuesday night why Jones, who has claimed that the Sandy Hook massacre was a hoax, remains on Twitter after other social media outlets banned him.

"Accounts like Jones' can often sensationalize issues and spread unsubstantiated rumors, so it’s critical journalists document, validate, and refute such information directly so people can form their own opinions. This is what serves the public conversation best,” Dorsey tweeted.

Here's what a few journalists and outlets had to say about that:

Portland Press Herald in Maine, tweeted: "You know, @jack our days are pretty full as it is without cleaning up your website for you pro bono. Just sayin."

Freelance journalist Lauren Duca wrote: "Yeah, that’s the job of journalism. What’s your job exactly?"

Rob Tannenbaum, who describes himself as a writer for New York magazine, tweeted:  "See @Jack? Literal, mortal consequences of allowing sensationalism and unsubstantiated rumors to flourish in what you dishonestly call the public conversation."

Bill Grueskin, a former WSJ executive and professor at Columbia Journalism School, according to his Twitter bio said:  "If only journalists had publicized the fact that the Sandy Hook murders did, indeed, take place. Thanks @Jack."

Garrett Graff, a Wired contributor, posted: "Honestly, if we can't agree that Sandy Hook hoaxers don't belong in the public sphere, are there any lines that Twitter and @jack are willing to draw?"

Meanwhile, The Guardian's Carole Cadwalladr, who broke news on Cambridge Analytica’s use of Facebook data, is the latest reporter to say she's taking a break from Twitter. She posted this adieu along with an image on an attack on her.

“This enemy of the people is taking a break.  for the amazing support for this story, Twitter. It is very much appreciated. #Journalism2018,” she tweeted.

Just a few weeks ago, New York Times White House correspondent Maggie Haberman explained why she was taking a break from engaging on Twitter. 

"Twitter has stopped being a place where I could learn things I didn’t know, glean information that was free from errors about a breaking news story or engage in a discussion and be reasonably confident that people’s criticisms were in good faith,” Haberman wrote in the Times.

The Twitter CEO responded last month in a long thread. Dorsey quoted Haberman's thought: “There is an important discussion about journalism that must take place, including about how all of us performed during the 2016 campaign, but Twitter is not where a nuanced or thoughtful discussion can happen.”

Then he added: "This is what we’d like to fix the most."

Axios adds to news outlets making TV with HBO show

Add Axios to the growing list of news outlets making TV shows. 

The digital media upstart announced on Wednesday that it has struck a deal with HBO to produce a "limited docu-series" to coincide with the 2018 U.S. midterm elections. The series will have big-name interviews and short documentaries on important topics, Axios' Mike Allen said in a post.

Media companies searching for non-advertising revenue have been slowly venturing into the world of high-end nonfiction video production. Vice was among the first, signing a deal with HBO back in 2012 to make documentary programming. 

Since then, both BuzzFeed and Vox have deals to produce shows Netflix, OZY Media started "Breaking Big" for PBS, and the New York Times is preparing to launch "The Weekly" on FX.