Five rival publishing companies Dec. 8 finally went public with their plans to develop a digital storefront, but the announcement shows much remains to be worked out.
Condé Nast, Hearst, Meredith, News Corp. and Time Inc. said simply that the five will create an independent venture to develop a storefront and related technology to sell their and other publishers’ content on a variety of digital devices.
The venture’s goals are to create a common reading application, publishing platform for multiple devices, operating systems and screen sizes; a digital storefront; and advertising opportunities.
But there’s no clear road map to achieve those goals. At this point, the venture is little more than an idea, backed by a 10-person board of two people from each of the five partner companies, which have equal stakes in the venture.
John Squires, who has been spearheading the effort, is stepping down from his post as executive vp at Time Inc. to be its interim managing director.
At this point, the initiative lacks a name and staff. More important, the venture, like concurrent individual publishing company efforts, is looking to create a publishing platform for magazine-friendly e-reading devices that are expected to come on the market in 2010 but don’t exist today.
“We’re at the very, very beginning,” Squires said. “We’ve got to build a company and a product road map. It’s very early, but the common desire of the partners is to put their money behind a tool set that’ll help their publications.”
Bob Sauerberg, group president of consumer marketing for Condé Nast, along with group president David Carey, are representing Condé Nast on the venture’s board. “Admittedly, the consortium is at the early concept stages of a bold and revolutionary idea,” Sauerberg said. “We’re really creating something that doesn’t exist today.”
Other board members include, from Time Inc., Brian Wolfe and Monica Ray; from Hearst, John Loughlin and Neeraj Khemlani; from Meredith, Jack Griffin and John Zieser; and from News Corp., Jon Miller and John Housman.
Initial steps will include hiring staff, a permanent managing director, consultants and developing applications to translate printed material to smartphones already in use, Squires said. Developing a platform to distribute content to other devices and creating a storefront would come later.
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