Monday, May 4, 2009

The one American business Warren Buffett will not buy "at any price"

As a 13-year-old in 1943, one of Warren Buffett's first jobs was to deliver newspapers.

Thirty years later, the Warren Buffet-owned Omaha Sun became the first weekly ever to win a Pulitzer.

Today, what is the one American business Mr. Buffett says he will not buy "at any price"? Newspapers.
[Mr. Buffett's] view on the future of the newspaper industry is dismal. "For most newspapers in the United States, we would not buy them at any price," he said. "They have the possibility of going to just unending losses."

As long as newspapers were essential to readers, they were essential to advertisers, he said. But news is now available in many other venues, he said.

More Mr. Buffet at a Berkshire Hathaway shareholders meeting.

Image courtesy of BusinessWeek

Also read: A sustainable model emerges: Use collective intelligence but fact-check with journalists
And: Can selling news via the Web save newspapers?
Newspapers' closure adversely affects political engagement, study finds
And: Newspapers, a pillar of civic journalism
And: Scholars call for tax credit for buying newspapers
finally: Should the newspaper industry get a bailout?

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