This is well written. It was published in 2009. See:

http://www.shirky.com/weblog/2009/03/newspapers-and-thinking-the-unthinkable/

QUOTE:

The problem newspapers face isn’t that they didn’t see the internet coming.
They not only saw it miles off, they figured out early on that they needed
a plan to deal with it, and during the early 90s they came up with not just
one plan but several. One was to partner with companies like America Online
. . .

As these ideas were articulated, there was intense debate about the merits
of various scenarios. Would DRM or walled gardens work better? Shouldn’t we
try a carrot-and-stick approach, with educationand prosecution? And so on.
In all this conversation, there was one scenario that was widely regarded
as unthinkable, a scenario that didn’t get much discussion in the nation’s
newsrooms, for the obvious reason.

The unthinkable scenario unfolded something like this: The ability to share
content wouldn’t shrink, it would grow. Walled gardens would prove
unpopular. Digital advertising would reduce inefficiencies, and therefore
profits.. . . .

[To summarize, newspapers would go out of business]

. . . Revolutions create a curious inversion of perception. In ordinary
times, people who do no more than describe the world around them are seen
as pragmatists, while those who imagine fabulous alternative futures are
viewed as radicals. The last couple of decades haven’t been ordinary,
however. Inside the papers, the pragmatists were the ones simply looking
out the window and noticing that the real world increasingly resembled the
unthinkable scenario. These people were treated as if they were barking
mad. Meanwhile the people spinning visions of popular walled gardens and
enthusiastic micropayment adoption, visions unsupported by reality, were
regarded not as charlatans but saviors.

When reality is labeled unthinkable, it creates a kind of sickness in an
industry. Leadership becomes faith-based, while employees who have the
temerity to suggest that what seems to be happening is in fact happening
are herded into Innovation Departments, where they can be ignored en bloc.
. . ."

- Jed

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