Google Says that People Will Pay for Online Content

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Nikesh AroraAccording to Nikesh Arora, who holds the position of president Google for Europe, Middle East and Africa and vice president Google UK, the web economy is going to develop similar to print economy, which means that on-line visitors are going to pay for the content.

 

"The business model on the web is going to be no different to the business model today," Mr. Arora told the audience that gathered at the World Editors Forum at the World Association of Newspapers 2008 conference.

 

He mentioned that people pay for books, the get free information along with advertising, they are willing to give money for premium content. "The web will be no different....There's going to be a spectrum," he added. He believes that today's situation, where numerous websites offer news online, might eventually suffer changes. "There's some degree of commoditization on the web, when that happens, price falls." According to Nikesh Arora, media organizations will require more visitors in order to register profits.

 

He also mentioned a great number of blogs, which could disappear in the future. The picture provided by Mr. Arora resembles American Idol, where a small number of people attracts a mass of people and goes to the top.

 

Currently the online world features 1.3 billion people. This number is believed to increase to about 3 billion in the next 5 years. In such a way the online world will provide a great opportunity due to the fact that content can be easily shared online. The issue that newspapers will have to solve is "unbundling of the package". A usual newspaper features news, sport, arts that do not represent the future.

 

"Today I find different specialist places to get that information," said Mr. Arora. The problem that newspapers will have to solve is become a specialist to a lot of people on the web. Google's representative states another challenge to newspaper brands that rely on their status of trust: "The challenge you have in internet world do you dilute your brand if you engage with readers?"

 

Nikesh Arora has his own answer to the question, he says that the generation of today is not the one to be told, it’s a generation that looks forward to participate in discussion and form an opinion.

 

 

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