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The End of Paper?

March 4, 2009
by Michael V. Copeland
Senior Writer, Fortune

Michael V. Copeland

Never pick a fight with someone who buys ink by the barrel. Mark Twain’s advice was apt in its time but sounds downright quaint these days. The ink-stained publishing world is battling against companies like Google (GOOG) and Yahoo (YHOO) that sell ads via any Internet-friendly gadget. And we know how that fight is going: The buy-ink-by-the-barrel types are struggling.

Behind all the handwringing is the fact that the Internet has not yet become the moneymaker that the $300 billion global publishing industry had hoped. Online revenue is growing, but not fast enough to make up for falling print advertising. Even the New York Times, a paper that has turned its staff loose online more than most, needed a recent $250 million cash infusion from Mexican telecom billionaire Carlos Slim to keep chugging along.

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