Here is some fascinating analysis from Vanity Fair:
Rupert Murdoch is going to battle against the
Internet, bent on making readers
actually pay for online newspaper
journalism-beginning with his London Sunday Times. History suggests he won't back down; the experts suggest he's crazy. Is he also ignoring his industry's biggest problem?
...After fulminating for a year about how people on the Internet should
pay for news, he made it official. Announcing in August the biggest
losses his company has ever sustained, he added that he'd had enough
and if people wanted to read his newspapers they could bloody well pay
Having once worked for Murdoch at the Chicago Sun-Times, I can guarantee what when he declares war, you better head for the ramparts.
Actually, I'm glad that someone at last is challenging the conventional wisdom that newspapers no longer can sell their product. I believe that they can and that they should