A Slow Death for Fast Company?
We let the announcement by Gruner & Jahr that it is exiting the U.S. magazine business, after 30 fruitless years of attempting to build a business, slide by last week because the whole thing had a kind of inevitability to it. G&J has been stumbling around like a drunken sailor for years now.
As part of the deal with Meredith Publishing, which forked over $350 million, two of the G&J business titles, Inc. and Fast Company, have been left out to dry – for now. Meredith can exercise an option to buy those titles by the end of this month, if no other publisher steps up to buy the titles. We suspect someone will come forward to purchase these titles, but we’d also expect a long period of financial uncertainty to set in.
David Carr, the media reporter at the NYT, has a less favorable interpretation of the deal. He believes the potentially orphaned mags “now have a value of zero” and are “probably gone for good.”
Well, Fast Company editor John A. Byrne isn’t taking this lying down! And where better to post a rebuttal than on a blog. Check out Byrne’s defense of Fast Company here.
Read: Bad Business for Magazines About Business – [nytimes.com]