What a difference a week makes: Exactly one week after implying that InDenverTimes would go forward regardless of meeting its subscriber goal, the investors backing the nascent online news venture have withdrawn their support, citing concerns with several aspects of the business.
The employees want to find new investors, business writer David Milstead told the Denver Post.
“The revenue picture is very unclear, and the potential for losses is sizable,” he said.
The investors were uncomfortable with multiple aspects of the business, including the size of the newsroom.
InDenverTimes would have been staffed by thirty former Rocky Mountain News employees. The ex-RMN staffers had been working without pay on InDenverTimes since the site was announced March 17. Investor Kevin Preblud initially claimed the site would need 50,000 paying subscribers by today to get InDenverTimes running; last week he told Denver Westword’s Michael Roberts that “the subscriber number is ultimately not going to dictate the April 23rd go or no-go discussion,” calling the possibility that the site could be killed today “remote.”
The official announcement will be made in a statement to be issued later today, Milstead told the Post.