Employees weep as Al Jazeera packs out of America
The romance between Al Jazeera and United States’ cable television consumers is over – and that’s if there was any love lost between the two in the first place.
CEO Al Anstey, in a Wednesday email to employees, explained why Al Jazeera took the decision:
The decision is driven by the fact that our business model is simply not sustainable in an increasingly digital world, and because of the current global financial challenges.
Some employees were reported to have wept after learning about the development.
When Al Jazeera launched its America operations three years ago, you’d think they’d take over the free world.
After buying Current TV for a reported $500 million in January 2013, Al Jazeera America cable news channel debuted in August of the same year.
But the channel failed to successfully compete with the likes of CNN, ABC and Fox News.
Its 60 million American subscribers fell 40% short of a possible 100 million households that have cable TV. And its ratings were not looking good. And there’s nothing cheap about running cable TV.
Aside low ratings and the impact of the Internet, Al Jazeera America reportedly battled internal turmoil. A series of discrimination lawsuits that led to the ouster of its founding CEO didn’t escape public attention.
The end of Al Jazeera America, however, is not the end of Al Jazeera’s coverage of the United States.
Like CEO Al Anstey said, it’s all about the business model. Al Jazeera will continue to cover the U. S. via every other digital means at its disposal.
But its “physical” presence in America is “gone.” Its large newsroom in Midtown Manhattan will be shutdown.
Members of its talented media staff have also been told they could stay no longer that the April 30 shutdown date.
The employees have been given their severance package, we understand.
