Associated Press Developing Subscription Service for iPad

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Date: Monday, March 1st, 2010, 04:52
Category: iPad, News

The Associated Press, one of the world’s largest news wire services, will be building an iPad app in a move that counters the primarily ad-only model for news on the Web.

According to the Financial Times, AP’s iPad plans were unveiled along with the creation of a new business unit called AP Gateway, which will be devoted to helping the wire service’s member newspapers keep abreast of new technologies ranging from e-readers to mobile phones.

The AP hopes to assist its member newspapers with rolling out electronic editions of their publications without each paper having to develop its own digital strategy in Web access and mobile apps, something that many papers lack the resources and expertise to do on their own.

The move to create paid subscription access to wire service news follows a business model pioneered by specialized newspapers such as the Financial Times and Wall Street Journal, which both provide premium access to news to their paying subscribers both on the web and via native iPhone apps.

Reuters and the New York Times are also both planning to roll out paid access to their Web properties over the next year.

Speaking at the Colorado Press Association’s annual meeting, AP’s chief executive Tom Curley said that, “For publishers, [2010] likely is the defining moment. We must seize this opportunity to reinvigorate our business models as well as our journalism.”

Curley said the AP was convinced by three years of anthropological research that its publishers must differentiate their content, and not add to “information overload.”

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