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Monday, January 22, 2024

The NFL generates record ratings, Sports Illustrated's fate remains up in the air, Elon Musk tours Auschwitz, Donald Trump punishes NBC News, TikTok trims its workforce, the Academy preps to announce Oscar noms, and so much more. But first, the A1.

THE A1

To Live and Die in L.A.

CNN Photo Illustration/Ringo Chiu/SOPA Images/Sipa USA

The Los Angeles Times is in disarray.

The Dr. Patrick Soon-Shiong-owned newspaper, which houses the largest newsroom in the western U.S., has been thrown into a state of mayhem as severe layoffs loom and senior editorial leaders abruptly call it quits.

"I cannot overstate the level of chaos," one staffer, who requested anonymity because they were not authorized to speak publicly, candidly told me on Monday.

To say that it has been a rocky start to the new year for the venerable news outlet would be an understatement. Earlier this month, Kevin Merida suddenly announced that he was departing his post as executive editor after less than three years on the job. Then, news of forthcoming mass layoffs ensued, prompting the employee's union to stage a historic one-day walk out on Friday. The LAT's Meg James reported last week that management could slash upwards of 20% of the newsroom — or roughly 100 positions — with the looming layoffs, though a person familiar with the matter warned to me on Monday that it could ultimately end up being "much worse" than that.

Meanwhile, amid the backdrop of bedlam, the team of four managing editors — Julia Turner, Sara Yasin, Scott Kraft, and Shani Hilton — tapped to oversee operations in the wake of Merida's departure has also been rocked by departures. Two of the four members, BuzzFeed News alums Hilton and Yasin, have in recent days exited the newspaper, contributing even further to the turmoil that has enveloped the newsroom.

"We have a billionaire who doesn't understand media and thinks he can cut his way to success," another staffer told me. "Now we're watching as our bloated, incompetent masthead plays 'Survivor' amongst themselves for the dubious reward of running the place into the ground. Meanwhile, the company refuses to negotiate in good faith with the union so that these layoffs can be done in the most humane possible."

Seeking to provide the newsroom with some sense of stability, Turner emailed staffers on Monday announcing that she would oversee daily editorial operations with Kraft and absorb all of Hilton's direct reports. Notably, Turner was not shy about the grim reality confronting the newspaper, writing to employees, "Scott and I are now responsible for all editorial operations, and we're advocating for editorial interests in conversations with the company about the financial crisis we face."

Beyond the drastic cuts hanging over the newsroom, it's unclear what Soon-Shiong is doing behind the scenes to stable his ship. The biotech billionaire purchased The LAT in 2018, pouring nearly $1 billion into the storied paper and vowing to steer it into the future after enduring years of tumult under Tribune Publishing. But in the words of the newspaper's own leadership team, years later under his stewardship it is in a dire state of "financial crisis."

The newsroom's rank-and-file have not heard from Soon-Shiong since he announced Merida's exit two weeks ago. At the time, he said his commitment to the newspaper had "not wavered." But he did foreshadow a period of disruption, telling staffers, "Given the persistent challenges we face, it is now imperative that we all work together to build a sustainable business that allows for growth and innovation of the LA Times and LA Times Studios in order to achieve our vision."

The Times is certainly not alone in its struggles. Most news media companies are fighting to stand on their feet as they fight unprecedented headwinds. Layoffs have become the de facto norm in an industry continually pummeled by seismic change. In 2023, news outlets slashed nearly 2,700 jobs — the highest number of cuts to torment the industry since the Covid-19 pandemic.

The cuts have come at a horrendous time. As antidemocratic candidates look to seize power in election contests from coast to coast, newsrooms are shrinking and simply trying to stay afloat. That lack of accountability means dishonest figures seeking higher office, and those in positions of power, could avoid crucial scrutiny, leaving the electorate less informed about the vital decisions it will have to make in November at the ballot box.

That said, while painful cuts have become all too frequent throughout the industry, it's still rare to watch in real-time as a news organization of The LAT's stature see its leadership team come apart at the seams so visibly — particularly as staffers brace for even more agony.

On Monday, 10 Democratic members of Congress representing California wrote Soon-Shiong, expressing alarm over the planned layoffs, noting that during elections, "the role of news outlets in providing accurate and unbiased information becomes even more vital."

"Our community relies on the newspaper to stay informed about local and national events, and a reduction in reporters could have a detrimental impact on the quality of reporting," the congressional leaders wrote. "Preserving democracy is contingent upon a free and robust press, and the LA Times has been instrumental in upholding this democratic principle."

"We urge you to consider alternative solutions that would allow the LA Times to navigate its financial challenges without compromising the integrity and strength of its newsroom."

In response, Soon-Shiong said he had invested hundreds of millions of dollars into the paper and suggested lawmakers should take action of their own to aid revenue-starved news organizations.

"I'd like to put the question to them: What can they do to help preserve a free and robust press, one that is instrumental in upholding our democracy?" he wrote. "All we are asking for is the opportunity for our newspaper and hardworking journalists to be fairly compensated, and for the L.A. Times to have a fair chance to become a self-sustaining institution."

——— BELOW THE FOLD ———

CNN Photo Illustration/Jeffrey T. Barnes/AP

Ratings Touchdown: The NFL's divisional playoff games have delivered monster television ratings. ESPN said Monday that its broadcast of the Texans-Ravens game "was a record-shattering showdown" for the network, averaging 31.8 million viewers and its most-watched NFL game ever. Over at CBS, the network saw an even larger audience. The Chiefs-Bills game averaged a whopping 39.3 million viewers, up 14% from last year's comparable match up. (The Taylor Swift effect, perhaps?) At a time when linear television is on the decline, the NFL continues to prove to be an unrivaled bright spot.

► While the NFL continues to perform phenomenally well on traditional television, the league is also still looking to the future. THR's Alex Weprin spoke to league executive Hans Schroeder about the NFL's view of its experimental Peacock playoff game. "It's pretty remarkable that the first time we put a wild card game on Peacock it beats the same time slot, same broadcast partner the year before," Schroeder said. "That's awesome, and I mean it's a testament to how fans are changing and watching. It's a testament to what Comcast did to really build awareness there." Bottom line from Weprin: "Expect more" of such arrangements with streamers.

THE INDUSTRY

CNN Photo Illustration/Ted Pink/Alamy Stock Photo

Sports Ill-fated: What does the future hold for Sports Illustrated? Days after staffers were told they would be laid off, the answer remains elusive. That's in part because of the unusual ownership-publishing setup behind the iconic magazine. Authentic Brands Group owns SI, but has been licensing the rights to publish the magazine to The Arena Group. Authentic said last week that Arena missed its quarterly payment for those publishing rights, prompting it to revoke its license to publish SI. That's what prompted Arena to issue layoff notices to staff. So what happens now? Authentic is in talks with a handful of companies for a new deal to license the SI publishing rights. Arena said it is "in active discussions" with Authentic for a new deal, but it acknowledged it isn't the only company at the bargaining table. "We hope to be the company to take SI forward but if not, we are confident that someone will," an Arena spokesperson told me. "If it is another business, we will support with the transition so the legacy of Sports Illustrated doesn't suffer."

► Meanwhile, amid the uncertainty, staffers were not immediately laid off are still continuing to publish news to SI's website. Arena said that "even though the publishing license has been revoked we will continue to produce Sports Illustrated until this is resolved." An Arena spokesperson told me that decision was made in conjunction with Authentic.

THE FOURTH ESTATE

After the Baltimore Sun's sale to Sinclair boss David Smith, The Baltimore Banner has seen an "enormous surge" in new subscribers, Editor-In-Chief Kimi Yoshino tells Sarah Scire. (Nieman Lab)
"I wasn't murdered. I'm still alive." Chris Cuomo participates in a Q&A with Jeremy Barr, covering a wide range of topics, including his hosting of Bill O'Reilly on his show: "We're dealing with something in our culture right now which is nothing short of censorship." 🤔 (WaPo)
Max Tani has a smart look at the "collapsing U.S. political-media-industrial-complex." (Semafor)
Always the contrarian, Jack Shafer argues, "Cable news possesses phenomenal staying power." (POLITICO)
"Ratings are low, turnout is weak, and Americans are unenthused about the prospect of a Trump-Biden rematch in November," Brian Stelter writes. "But given the stakes of the election, will the public start paying more attention?" (Vanity Fair)
MSNBC is choosing not to respond after ex-host Tiffany Cross, whose show was canceled in 2023, savaged the network's leadership. (Mediaite)
Lachlan Cartwright, who is departing The Daily Beast for The Hollywood Reporter, said that Confider will continue on. Cartwright wrote in his final edition that the media newsletter will now be helmed by the rest of the team, made up of Andrew Kirell, Justin Baragona, and Corbin Bolies. (Confider)
Jake Tapper, Dana Bash, and longtime producer Rachel Streitfeld speak to A.J. Katz about their partnership. (AdWeek)
Tapper also spoke with The WSJ's Paul Beckett about Evan Gershkovich's detention in Russia, with Tuesday marking 300 days of the reporter being behind bars: "He is as engaged as he can be to maintain his equilibrium," Beckett told Tapper. (Critical Mention)
After passing the House on Friday, the PRESS Act is heading to the Senate. (EFF)
First in Reliable | The New Yorker is getting into the narrative podcast game, launching its first foray into the genre this week. The Heidi Blake-hosted show, "The Runaway Princesses," comes after Condé Nast's acquisition of In The Dark last year.
The Media and Democracy Project is calling on The NYT to reinstate the public editor. (MDP)
Charlotte Tobitt details Business Insider's rise from scrappy outsider to media powerhouse. (Press Gazette)
Alice Dunnigan and Ethel L. Payne, the first Black women to cover the White House, were honored in the briefing room on Sunday. (NYT)
Say what? "Two months ago, the news agency Reuters published an eye-opening cybersecurity investigation bylined by Washington-based reporters and full of news of interest to Americans. But Americans aren't allowed to read the story anymore — by order of a court in India," Michael Schaffer reports. (POLITICO)
As watchdogs express worry Ukrainian journalists are being intimidated, Volodymyr Zelenskyy has launched an investigation, declaring that "any pressure on journalists is unacceptable." (FT)

IN THE MARKET

The new trend: Spectrum inked a carriage agreement with TelevisaUnivision that makes its streaming service available to the company's cable subscribers, with the cable giant calling it the "new distribution framework." (THR)
A deal that would have created a television and streaming powerhouse in India is no more after Sony terminated its $10 billion plan to merge its India division with Zee Entertainment Enterprises. (Deadline)
Georg Szalai has a preview of Netflix's quarterly earnings report, which lands Tuesday after the bell. (THR)
🚨On the eve of the earnings, Netflix announced film boss Scott Stuber will exit the streamer in March. (NYT)

MEDIA MOVES

The WaPo named Karl Wells as chief growth officer and named Paige Winfield Cunningham deputy Washington editor. (WaPo/WaPo)
CNN hired John Fritze as a reporter covering the Supreme Court and hired Michael Yoshida as a correspondent based in in Washington, D.C. (CNN/CNN)
NBC News named Mike Calia managing editor of its business and economy unit. (TBN)
The NYT announced new editorial leadership at Wirecutter and hired Chloe Watson as an audience editor based in Seoul. (NYT/NYT)
Nine newspapers named Luke McIlveen as executive editor. (Guardian)
FT Group appointed Silvia Pavoni as editor of The Banker. (FT)
Bloomberg hired Nicole Beemsterboer as executive producer of its "Big Take" podcast. (TBN)
The Telegraph named Sam Brodbeck chief money reporter. (TBN)
POLITICO named Bjarke Smith-Meyer its senior finance correspondent. (TBN)
Fox Corporation tapped Jeff Collins to head up ad sales as Marianne Gambelli's retires. (THR)

THE INFO WARS

CNN Photo Illustration/Omar Marques/Getty Images

Musk Tours Auschwitz: Elon Musk, the billionaire who chased a large chunk of X's advertisers away after endorsing an antisemitic conspiracy theory late last year, toured Auschwitz on Monday, before sitting down for a chat with Ben Shapiro at a conference organized by the European Jewish Association. Musk, who has a history of amplifying antisemitic tropes and rhetoric, claimed to Shapiro that X has "the least amount of antisemitism," despite independent researchers having repeatedly voiced strong concerns about the rise in such hateful rhetoric. CNN's Clare Duffy has more here.

🔎 Zooming in: Since Musk took over the platform once known as Twitter, the Anti-Defamation League, Center for Countering Digital Hate, Institute for Strategic Dialogue, and Secure Community Network have all pleaded with Musk to take anti-semitism more seriously. Musk has instead often chosen to attack such groups, waging an ugly war on the ADL and filing a lawsuit against the CCDH. Regardless, his actions are telling. As X boss, Musk has removed many of the guardrails governing content on the social media platform, even going as far as to welcome White nationalists and other bigots who were once banned back to the website.

IN THE BATTLEFIELD

A peek into the future: Donald Trump's anti-press campaign barred NBC News reporter Vaughn Hillyard from attending a rally on behalf of the pool. The move came as Trump rages at the Comcast-owned network and vows to target it should he find his way back to the White House. (NYT)
Ahead of the New Hampshire primary, Howard Polskin reported on how "conservative media is alive and well in the Granite State." (Righting)
Total fealty required! Sean Hannity needled Steve Doocy for noting the New Hampshire electorate — made up of some Democrats and independents — could boost Nikki Haley: "Are you going left on me?" (Mediaite)
Speaking of Hannity: The MAGA propagandist regularly criticizes Joe Biden for gaffes, but argued on Monday it's "not hard" to mix up Haley with Nancy Pelosi, as Trump recently did. (MMFA)
Colby Hall argued that "Trump's gaffes and slurrying this weekend should be leading every newscast." Hall wondered, "Why aren't they?" (Mediaite)
Aaron Friedberg and Gabriel Schoenfeld criticized The NYT's Ross Douthat for "downplaying" the Trump threat: "Having minimized the dangers posed by Donald Trump three years ago, Douthat is now back with a column repeating the error." (Bulwark)
Bret Baier responded to far-right personality Emerald Robinson after she called him a "chubby leprechaun" and suggested he was in the tank for the Democrats: "Thanks for watching Emerald — I'm 5'11'' - definitely trying to drop some lbs -& yes I am Irish. We'll cover the race fairly all throughout. Good luck with your coverage wherever it is." (Mediaite)
A.I. is "destabilizing" the discourse during the 2024 election, Pranshu Verma and Gerrit De Vynck reported. (WaPo)

THE VALLEY

CNN Photo Illustration/Dado Ruvic/Reuters

Tumult at TikTok: It seems that nowhere in Silicon Valley is safe from layoffs these days — including TikTok. The short-form video powerhouse, which has disrupted the entire tech and entertainment industry, executed layoffs on Monday, NPR's Bobby Allyn reported. Allyn reported that about 60 employees were laid off and that a town hall meeting was scheduled for Tuesday. A spokesperson for TikTok confirmed the cuts to me. The company joins several other top tech companies — including titans Amazon and Google — that have slashed workforces in recent weeks. Read Allyn's full story here.

TOO MANY TABS

✂️ Cuts, cuts, cuts: The Google layoffs continued, with Moonshot X Lab slashing its workforce, Julia Love reports. (Bloomberg)
Many of the apps for the Apple Vision Pro — including Podcasts, News, and Calendar — will just be the iPad versions of the apps at launch, Mark Gurman reports. (Bloomberg)
Despite quickly selling out, analysts are warning that demand for the pricey Apple headset could ebb. (CNBC)
Kendra Barnett writes that Reddit's reported March IPO "could be a boon for the company's advertising business, which has faced stiff competition in recent years." (The Drum)
Meta's stock has entirely recovered from its pandemic collapse, Sara Fischer notes. (Axios)
Meta will also allow its E.U. users to block cross-site tracking as it adheres to the Digital Markets Act. (TechCrunch)
Computer scientists released software that lets artists thwart A.I. systems that try to train off their works without permission. (Venture Beat)
X said a "bug" in its system caused it to "incorrectly label numerous posts as Sensitive Media." (TechCrunch)
A.W. Ohlheiser writes about the "complicated lives and deaths of TikTok's illness influencers," people who amass large audiences vlogging about living with diseases. (Vox)

CURTAIN CALL

CNN Photo Illustration/Christopher Polk/Getty Images

And The Nominees Are: Hollywood's biggest morning is just hours away. The Academy of Motion Picture Arts and Sciences on Tuesday will announce the nominees for the 96th Academy Awards. The announcement kicks off at 8:30am ET and will be broadcast on ABC (in addition to being streamed online). The NYT's Kyle Buchanan has a helpful walkup to the big moment, noting it has been "an unusually strong year for films" and there "are simply more good movies and great performances than there are awards to honor them." Still, one can expect to see big showings from "Oppenheimer," "Killers of the Flower Moon," "Barbie," "The Holdovers," "Maestro," and others.

► The Ankler's Gregg Kilday had this observation: "Nudity, graphic sex, make this year's contenders the most boundary-pushing in history."

OFF STAGE

The American Federation of Musicians, the union that represents musicians across the entertainment industry, began negotiations Monday on a new contract with the AMPTP. (CNN)
Billy Joel's new track, "Turn the Lights Back On," is his first solo single in 17 years. (Variety)
Rapper 21 Savage's latest solo album, "American Dream," is the first new No. 1 album of 2024. (NYT)
"The Marvels" will head to Disney+ on February 7. (IGN)
Netflix secured the rights to horror-film and Sundance sensation "It's What's Inside" for $17 million. (Deadline)
Lindsay Lohan will star in Netflix's "Our Little Secret" alongside Kristin Chenoweth, Ian Harding, Jon Rudnitsky, and Chris Parnell. (THR)
Season three of HBO's "The White Lotus" has added Francesca Corney, Arnas Fedaravičius, and Nicholas Duvernay to its cast. (TheWrap)
Apple TV+ released the official trailer for its upcoming series, "Constellation." (YouTube)
Netflix dropped the trailer to "Hit Man," which stars Glen Powell and will see a theatrical release ahead of its June 7 streaming debut. (YouTube)
Peacock unveiled the trailer for "Apples Never Fall." (YouTube)

Thank you for reading! This newsletter was edited by Jon Passantino and produced with the assistance of Liam Reilly. Have feedback? Send us an email. You can follow us on Instagram, Threads, and LinkedIn. We will see you back in your inbox tomorrow.