MediaWeek (Vol 5, No 34): Copyright, Digital Public Library, Colleges & Big Data + More

University of California at Berkeley professor Dr. Pamela Samuelson in The Chronicle from a few weeks ago on Copyright reform and the creation of a comprehensive digital library (Chron):

The failure of the Google Book settlement, however, has not killed the dream of a comprehensive digital library accessible to the public. Indeed, it has inspired an alternative that would avoid the risks of monopoly control. A coalition of nonprofit libraries, archives, and universities has formed to create a Digital Public Library of America, which is scheduled to launch its services in April 2013. The San Francisco Public Library recently sponsored a second major planning session for the DPLA, which drew 400 participants. Major foundations, as well as private donors, are providing financial support. The DPLA aims to be a portal through which the public can access vast stores of knowledge online. Free, forever.

Initially the DPLA will focus only on making digitized copies of millions of public-domain works available online. These include works published in the United States before 1923, those published between 1923 and 1963 whose copyrights were not renewed, as well as those published before 1989 without proper copyright notices, and virtually all U.S.-government works. If a way can be found to overcome copyright obstacles, many millions of additional works could be made available.

It's no secret that copyright law needs a significant overhaul to adapt to today's complex information ecosystem. Unfortunately the near-term prospects for comprehensive reform are dim. However, participants at a conference last spring at Berkeley Law School on "Orphan Works and Mass Digitization: Obstacles and Opportunities" believe that modest but still meaningful reforms are possible.

Her comment about the institutional license for the Google database reminded me of the analysis I completed in 2010.

The Atlantic takes a more detailed look at the Digital Public Library (of America):

The DPLA is the most ambitious entrant on the digital library scene precisely because it claims to recognize this need for scale, and to be marshaling its resources and preparing its infrastructure accordingly. With hundreds of librarians, technologists, and academics attending its meetings (and over a thousand people on its email listserv), the DPLA has performed the singular feat of convening into one room the best minds in digital and library sciences. It has endorsement: The Smithsonian Institution, National Archives, Library of Congress, and Council on Library and Information Resources are just some of the big names on board. It has funding: The Sloan Foundation put up hundreds of thousands of dollars in support. It has pedigree: The decorated historian Darnton has the pages of major publications at his disposal; Palfrey is widely known for his scholarship on intellectual property and the Internet; the staging of the first meeting on Harvard's hallowed campus is not insignificant. Ideally, the consolidation of resources—specialized expertise, raw manpower, institutional backing and funding—means that the DPLA can expand its clout within the community, attract better financial support, and direct large-scale digitization projects to move toward a national resource of unparalleled scope and functionality. "We believe that no one entity—not the Library of Congress, not Harvard, not the local public library—could create this system on its own," Palfrey says. "We believe strongly that by working together, we will build something greater."

The Economist takes a look at an exhibition at the British Library on the life of Shakespeare (Econ):

Shakespeare is such a global brand that the man himself almost disappears. The aim of “Shakespeare: Staging the World”, at the BM until November 25th, is to make the playwright specific and particular, to root him in his time, 400 years ago. The exhibition summons his physical world with an array of culturally evocative objects, many of which were used in “Shakespeare’s Restless World”, a splendid BBC radio series presented by the BM’s director, Neil MacGregor, earlier this year.

The show unfolds in a dark circular space, with curving rooms that wind from one to the next, each subtly lit and discreetly atmospheric of its contents: arrow slits in the room about the history plays, a hint of trees to suggest Warwickshire and the Forest of Arden, a touch of charring on black walls for the gunpowder and witchcraft of James I’s reign (when Shakespeare wrote “Macbeth”), and finally a pale dawn for the Americas, the “brave new world” of “The Tempest”. All this sits within the embrace of the old Reading Room, its shelves and dome dimly glimpsed through gaps here and there. This globe within a globe, as it were—one full of artefacts, the other of books—glances at the play between word and object that underlies the exhibition.

Fascinating (potentially spooky) article at the NYT on how colleges are beginning to use "big data" to manage student performance and even play match maker (NYT):

Data diggers hope to improve an education system in which professors often fly blind. That’s a particular problem in introductory-level courses, says Carol A. Twigg, president of the National Center for Academic Transformation. “The typical class, the professor rattles on in front of the class,” she says. “They give a midterm exam. Half the kids fail. Half the kids drop out. And they have no idea what’s going on with their students.”

As more of this technology comes online, it raises new tensions. What role does a professor play when an algorithm recommends the next lesson? If colleges can predict failure, should they steer students away from challenges? When paths are so tailored, do campuses cease to be places of exploration?

“We don’t want to turn into just eHarmony,” says Michael Zimmer, assistant professor in the School of Information Studies at the University of Wisconsin, Milwaukee, where he studies ethical dimensions of new technology. “I’m worried that we’re taking both the richness and the serendipitous aspect of courses and professors and majors — and all the things that are supposed to be university life — and instead translating it into 18 variables that spit out, ‘This is your best fit. So go over here.’ ”

From the Twitter this week:

ALA Releases Report on Library E-book Business Models Publishers Weekly

Media Decoder: Google to Buy Frommer's From Wiley Publishing New York Times

History of Electronic Transformation in the Story of the San Jose Mercury News

I think I tweeted this article several months ago but I was reminded of it again during a pre-conference session at Tools of Change this morning.  The article from the Columbia Journalism Review is a fascinating tale of how an established media outlet - one in many ways pre-disposed to change - struggled to make the right decisions, the right investments and do these at the right time.

Here are some snips (These are fairly deep in the article - CJR):

By the time William Glaberson of the New York Times came to visit in early 1994, some five thousand new AOL subscribers had signed up to receive Mercury Center. The number, Glaberson noted, represented less than 20 percent of AOL’s subscribers in the Bay Area and less than 2 percent of the Merc’s readers. But Glaberson’s report in the Times was all that Ingle, Mitchell, and their staff could have asked for. Even with new sites at the Chicago Tribune, Gannett’s Florida Today, and a handful of other papers, it had taken less than a year for Mercury Center to emerge as arguably the most ambitious experiment in how to weave the new technologies into an existing news operation.

It was not only the volume of services that set it apart, but the extent to which the electronic services so dramatically expanded the definition of what it meant to be in the news business. Mercury Center, Glaberson noted, had carried an online chat with San Jose’s mayor, offered its telephone-only subscribers recordings of Martin Luther King Jr.’s speeches, posted press releases (much to the newsroom’s consternation), and had also made available archives of all stories that had appeared in the newspaper since 1985. The archives, which came with an additional fee, had proven to be particularly popular. Ingle had thought their greatest appeal would be to schoolchildren working on reports. But the traffic was heaviest during the day, suggesting that the biggest users were business people eager for information about their industries and competitors.

Ingle told Glaberson that he was envisioning a new breed of journalist, dispatched with the sort of equipment that would allow filing in all sorts of ways, not merely for print. He called them “multimedia reporters.” Still, for the print side, the connection between the newspaper and Mercury Center involved little more than the addition of codes at the bottom of printed stories, so that readers could log on, or call in, for more. Some reporters had begun online conversations with their readers (everyone was asked to respond to reader e-mails). Others told Glaberson they saw the back and forth as peripheral to their work.
.....

Christensen, a devout Mormon, was staking out a position that bordered on business heresy. In the face of disruptive technology, he wrote, the wise course was not to react to the demands of existing customers. It was imperative to lower revenue expectations for the products spun off by those new technologies. And it was essential to accept the inevitability of failure. If sustaining technology brought reassurance, disruptive technology sowed doubt.

Yates had been with Knight Ridder long enough to recognize how much Christensen’s case mirrored what had taken place at her company. Knight Ridder, under Jim Batten, had ended the Viewtron experiment because the market was judged too small and the cost too high. But now Christensen was presenting an argument suggesting that, in essence, the company had had it all wrong—that because it had lost so much money it could not appreciate that Viewtron did, in fact, serve a market, albeit a small one that could, over time, develop into a far larger one, once the technology became cheaper, accessible, and efficient. Once the personal computer with a high-speed modem became a household fixture, the newspaper would cease being the best way to read, and more importantly, to search for jobs, employees, cars, and homes. That was the moment of disruption. And when it occurred, the companies that had been cultivating their shares of the emerging markets found themselves no longer at the periphery, but, like eBay, in a position to dominate a market that, not so long before, did not appear to exist.

As if by chance, Ingle had in 1990 come upon the very corrective in Mercury Center that Christensen would prescribe seven years later—a small, inexpensive laboratory for trying out those disruptive technologies, a place where modest successes could be celebrated and built upon, a “skunk works” operation that the company could keep running as it waited to see whether the new markets might emerge, or existing ones catch up.

Note: Christensen wrote The Innovators Dilemma which was also specifically referred to this morning.

MediaWeek (Vol 5, No 7): Books on Facebook, UK Copyright, Big Data, Ireland & John Synge + More

Interesting experiment to publish a novel via Facebook (Haaretz):

Epstein says that his decision to publish his new book on Facebook, where it appears in a photo-album format, was a response to the situation of the publishing market in Israel: "I'm not saying anything new when I say that the vast majority of writers and poets in Israel are unable to make a decent living from their work." The fact that Epstein cannot support himself from his books is not the heart of the matter; that's already self-evident. What bothers him is the short shelf life of books in the stores.

"In the case of a writer like me," he explains, "who isn't a mainstream and best-selling author, what happens is that the literature has a very hard time reaching the readers. The only way is via the 'book cemetery' that is sometimes called Tzomet Sfarim and sometimes Steimatzky's" - the country's two largest bookstore chains. "A book in those stores is sold not as a cultural item but as a consumer item of the shallowest possible kind. Not because it isn't good, but because that way it gets sold."

Epstein says this paradox confronts many writers and poets: "It's one thing that you don't make a profit, but in the present situation nobody can even read you, because the books don't really reach anyone. What I tried to examine is whether it's possible to reach a relatively broad audience without going through the usual intermediary, who is systematically interested in money rather than culture. I'm interested in the work and not its financial aspect."

The Publisher's Association in the UK is proposing a copyright registry (Bookseller):

The Publishers Association has called for the creation of a Digital Copyright Exchange  (DCE), which would act as a "one stop shop" for the exchange of information about how to license copyright online.

The PA has argued the online platform would negate the need for "dangerous" changes to copyright law proposed by the government in parallel consultation on copyright.
In a submission to the feasibility study into the DCE, which closes today (10th February), the PA urged government to suspend progress of the parallel Copyright Consultation launched by the Intellectual Property Office late last year, which recommends "drastically weakening" copyright. The body thinks the proposals would remove or undermine the ability of rightsholders to develop licensing business models, and "go against the grain" of the market-based voluntary arrangements proposed in the DCE.

Amanda Knox book in the works (NYTimes):

This makes the next step trickier for publishers vying this week for the rights to her memoir, whose blockbuster allure has a backdrop of unsettling details: Ms. Knox was arrested in 2007 in the murder of her roommate, Meredith Kercher, in what prosecutors described as a sex escapade gone wrong, spent nearly four years in an Italian prison and was exonerated last October after an appeals court overturned the original conviction.

The surge of media attention that will surely accompany the book’s release — normally good for publishers — comes with risks. To some members of the public, Ms. Knox was an innocent abroad who was imprisoned for a crime she did not commit. To others, she is a cunning femme fatale who got away with murder.

And that brings some difficult questions: do book-buying Americans see Ms. Knox as a sympathetic figure? And if the book commands a seven-figure advance, as is widely expected, will it be worth it?

Big Data from the NY Times:

What is Big Data? A meme and a marketing term, for sure, but also shorthand for advancing trends in technology that open the door to a new approach to understanding the world and making decisions. There is a lot more data, all the time, growing at 50 percent a year, or more than doubling every two years, estimates IDC, a technology research firm. It’s not just more streams of data, but entirely new ones. For example, there are now countless digital sensors worldwide in industrial equipment, automobiles, electrical meters and shipping crates. They can measure and communicate location, movement, vibration, temperature, humidity, even chemical changes in the air.

Link these communicating sensors to computing intelligence and you see the rise of what is called the Internet of Things or the Industrial Internet. Improved access to information is also fueling the Big Data trend. For example, government data — employment figures and other information — has been steadily migrating onto the Web. 

In 2009, Washington opened the data doors further by starting Data.gov, a Web site that makes all kinds of government data accessible to the public.  Data is not only becoming more available but also more understandable to computers. Most of the Big Data surge is data in the wild — unruly stuff like words, images and video on the Web and those streams of sensor data. It is called unstructured data and is not typically grist for traditional databases.  

But the computer tools for gleaning knowledge and insights from the Internet era’s vast trove of unstructured data are fast gaining ground. At the forefront are the rapidly advancing techniques of artificial intelligence like natural-language processing, pattern recognition and machine learning. 

Interesting article about returning to Ireland and the ghost of John Synge (NYT)

John Millington Synge writes of walking to see these beehive huts (clochans in Gaelic) in “The Aran Islands,” his classic account of living here for several months in the 1890s, when he gathered the material for his greatest plays. No other writer is more closely associated with this place and its people than Synge, although in many ways he makes an unlikely representative. He was Anglo-Irish, Protestant in his upbringing, fairly well to do, scientifically minded — there could have been, at the time, few Irish people possessing less in common with the peasantry he wound up making his subject and taking for his inspiration. Even in his famed descriptions, you can sense a remoteness. It was the artist in him, the very thing that made him a great writer. He never loved his own people too much to be able to see what was grotesque and silly and consequently most human in them. On his walk to the beehive huts, he’s following an old blind man named Mourteen, a local storyteller who gave him all sorts of material. The man knows the islands so well that Synge cuts his feet trying to keep up, despite the fact that his guide can’t see — “so blind that I can gaze at him without discourtesy,” is Synge’s phrase. The old man at one point indulges “a freak of earthly humour” and starts talking sex, saying what he would do if he could bring a girl into the hut with him. They pass a house where a schoolteacher lives alone. “Ah, master,” the old man says, “wouldn’t it be fine to be in there and to be kissing her?” It’s just the kind of scene that Synge’s detractors hated him for. The heroism of his characters comes purely from their helpless urge to be themselves, against all better judgment.

From the Twitter:

New York Diaries, in the Author's Hand:(NYT)

Pearson Takes 200,000 SF in Hoboken - Daily News Article http://bit.ly/y5UE1D

Rice University And OpenStax Announce First Open-Source Textbooks (Techcrunch)

Recalibrating Expectations for eTexts. Students are not embracing eTexts: Inside HigherEd 

MediaWeek (Vol 4, No 50): Khan Academy, Academic Libraries, Harvard Business School, Consumer Reports + More

An interesting profile of The Khan Academy and its founder Salman Khan from Inside Higher Ed and what is most interesting is less the videos than the opportunity to provide assessment tools that monitor and measure comprehension. (IHEd):

One root of the problem is the fact that the college degree is issued by the same institution that is in charge of setting, and enforcing, the standards of that credential, says Khan, who holds four degrees himself. This is tantamount to investment banks rating their own securities, he says. Meanwhile, the accrediting agencies that are in charge of making sure those “ratings” are legitimate do not currently focus on what students coming out of those institutions measurably know.

That is why, when an audience member at Khan’s Future of State Universities talk asked whether Khan Academy was interested in credentialing, its tutor-in-chief answered with an enthusiastic yes-but. Khan told Inside Higher Ed that he does not want to turn his free, online trove -- whose 2,700 videos could theoretically be organized into course-length sequences -- into a credential-granting institution. What he does want to do is advocate for the creation and mainstreaming of credential-granting institutions that exist wholly separate (“decoupled,” in Khan-speak) from the institutions (including his) that do the teaching.

In Khan’s ideal world, this would mean an independent third party that tests specific competencies and awards credentials corresponding to knowledge areas in which a student can demonstrate mastery -- like the MCAT or standardized tests like a bar exam for calculus, physics, or computer science. “It would be much more useful, speaking as employer, if they show they’re just at the top of the charts on a certain skill set that we really want,” he said.

Barbara Fister writing in Inside Higher Ed questions whether more public space in academic libraries is what students really want ( IHEd)

Though the conventional wisdom these days about library spaces is that students want to be social, that group work and collaboration are how kids learn today, and that digital texts and digital tools will get used but printed collections won’t, students often disagree.I’ve heard more librarians talk about student demands for quiet and solitary spaces for study in the past year, perhaps because the information commons idea has become so standard it’s no longer an innovation. Recently a small group of students at the University of New Brunswick protested because their spiffy new library was too noisy, too public, and the books were squirreled away at the periphery. It wasn’t clear from the article that students wanted to read the books, but they wanted a quiet, serious place to study, and books were part of their idea of such a place.

A recent Project Information Literacy study found that students minimize technology use and try to unplug from their overly distracting social networks when working on projects or studying for exams. Last month, a couple of student speakers at a symposium on the future of the academic library went even further. They yearned to be disconnected at times, and speculated that if a section of the library was purposefully taken off the grid, with no wifi and no computers, it would be the most popular site on campus for stressed students who needed to focus and get things done. I just noticed that the most recent issue of American Libraries has an essay proposing that libraries consider having gadget-free zones. Ironically, the print copy comes with a QR code you can use to retrieve the essay online.

From The Economist, Harvard Business School is experimenting with a different model for teaching students (Economist):

Long before he became dean, Mr Nohria lamented the failure of business schools to fulfil their mission of turning management into a profession similar to law or medicine. Asked what should be expected from someone with an MBA, he replies that “obviously, they should master a body of knowledge. But we should also expect them to apply that knowledge with some measure of judgment.” MBA students have long been sent on summer internships with prospective employers, but HBS, like most business schools, did little else to help them with the practical application of management studies.

What happens in the second year of the new course is still being worked out. But the first year has three elements. First, team-building exercises. Students take turns to lead a group engaged in a project such as designing an “eco-friendly sculpture”. They learn to collaborate and to give and take feedback. These exercises are loosely based on ones used in the US army.

Second, students will be sent to work for a week with one of more than 140 firms in 11 countries. Already the new intake have had conference calls with these companies, ranging from the Brazilian soapmaker to a Chinese property firm, and gone off-campus to conduct product-development “dashes” like the one in Copley Mall. This sort of structured learning-by-doing is a world away from HBS’s traditional encouragement of students to “go on an adventure” outside of classes.

The NYT takes a look at how Consumer Reports is doing on the web. Not particularly insightful the numbers are interesting however ( NYT):

Consumer Reports started its Web site in 1997; by 2001, it had 557,000 subscribers. That number has grown to 3.3 million this year, an increase of nearly 500 percent in 10 years. It has more than six times as many digital subscribers as The Wall Street Journal, the leader among newspapers.

And in August, Consumer Reports started generating more revenue from digital subscriptions than from print — a feat that must make it the envy of the print world struggling to make that transition. Even more amazingly, Consumer Reports has enjoyed success on the Web without losing print subscribers — those have held steady since 2001 at around four million.

“Five years ago, the Web site was just the magazine put online, word for word,” says Kevin McKean, Consumer Reports’ editorial director. Formerly, products were tested in batches, but today testing occurs whenever a new model is released. Results are quickly available online, instead of being held up for the once-a-year roundup of reviews of a particular product category in the magazine. 

From the Twitter:

OCLC WorldShare Platform: OCLC Brands and Strengthens Its Webscale Strategy (Link)

MediaWeek (Vol 4, No 37): Scholarly Publishing, Project Gutenberg, Literary Festivals, Lawsuits, + More

The New York Times takes up the issue of "pricy" scholarly journals and leads with their view point (NYT):

After decades of healthy profits, the scholarly publishing industry now finds itself in the throes of a revolt led by the most unlikely campus revolutionaries: the librarians.

Whoever pays the bills, publishing is not free. Under the traditional business model most of the costs were met by subscribers, though some journals do also charge contributors, making scholarly publishing one of the most consistently profitable, if least noticed, corners of the business. Elsevier, for example, reported profits of £724 million on revenues of £2 billion last year alone. According the Mr. Suber converting to open access “will involve some cost shifting, But also considerable cost savings” for libraries and university budgets.

The traditional model does have its defenders. After George Monbiot, a British academic and journalist, published an article in The Guardian newspaper last month calling academic publishers “ruthless capitalists,” Graham Taylor, director of academic publishing at the London-based Publishers’ Association, told the journal Times Higher Education that all publishers “aspire to universal access” but that it would take time to find a “sustainable, scalable, funded” way to achieve it.

Writers at the Scholarly Kitchen blog, who are mostly involved in the less commercial end of publishing, said that although subscriptions for popular titles might be expensive, the cost for each individual reader remained very low.

They also noted that many titles with high fees for American or European readers were available free or at lower costs to researchers in the developing world through the Hinari program, a partnership of the World Health Organization and several major publishers including Elsevier, John Wiley and Blackwell.

Sir John Daniel, president of the Commonwealth of Learning, an organization that helps developing countries improve access to education, said such efforts did not go nearly far enough. “One of the major obstacles to education in the developing world is the lack of high quality teaching materials,” he said. “The countries we work with can’t afford journals; they’re already paying an arm and a leg for textbooks.”

“I’ve seen it from both sides,” said Sir John, who was once briefly on the board of Blackwell. “I saw the vast industry built up from publicly funded research, and it was never clear to me what value was being added. But if you needed the material, they had you over a barrel.”

On the whole this article meanders and doesn't offer any insight. The author notes the Elsevier profit numbers as de facto proof that academic publishers are blood-suckers.

Appreciation for Michael Hart the founder of Project Gutenberg from the Observer:

Those who knew him testify that Michael Hart was an extraordinary individual – idiosyncratic, original, humane, determined and generous to a fault. He never made much money, repaired his own car, had scant faith in medicine and built most of his own electronic gear from stuff he picked up in garage sales. On Saturday mornings over breakfast in the local diner, he would work out the optimum route to cover the maximum number of garage sales that day; it was his version of the travelling salesman problem in mathematics.In his obituary of Hart, his colleague Gregory Newby described him as an "unreasonable" man, in George Bernard Shaw's celebrated use of the term. "Reasonable people," wrote Shaw, "adapt themselves to the world. Unreasonable people attempt to adapt the world to themselves. All progress, therefore, depends on unreasonable people."

From the Economist: It's good to have gatekeepers (Economist):

The more general question, however, is whether publishers like Amazon (and particularly Amazon) represent a threat to the older magazine model, in which a variety of articles are bundled together and sold for a price that, even on the newsstand, is lower than what a reader would expect to pay if buying everything piecemeal. Part of the reason readers buy magazines is because they are comfortable outsourcing some of the decision-making about content delivery, and welcome the fact that magazines curate the news. The last issue of the New Yorker, for example, included articles about Mr Perry, the gold standard, tarot cards, Wikipedia, Syria, Supreme Court Justice Clarence Thomas and his wife Virginia, and Rin Tin Tin.

According to the Economist there are a raft of regional literary festivals going on in Asia. I need an invite. (Economist):

In contrast to bleak conditions in Western book markets, the Indian divisions of international publishers are busy signing up new authors. London’s literary agencies have opened offices in India. Namita Gokhale, a novelist and one of the Jaipur festival’s organisers, says that South Asia is having a “literary moment”. It is “exploring its place in a new world” in English, while also maintaining traditions in the region’s native languages. She believes making sense of South Asia’s many upheavals has something to do with the outbreak of writing and reading.

Fellow traveler Peter Brantley is now writing for Publishers Weekly. Here on defining "library" (PW):

We are now engaged in acts of social reconstruction. Just as digital networks have forced us to deeply question the role of publishers, they also force us to reconsider the role and purpose of libraries, which developed in the modern era around the presumption of the Industrial Age book right along with publishing. A library fills many needs in its community; it is an after-school day care and gaming center, an employment hall and meeting space, offering shelter and privacy. It has also been a place with shelf upon shelf of CDs, newspapers, magazines, and books. Indeed, our understanding of libraries is so bound up in the physical world that their presumptive value has most often been measured through a single proxy: how many books they hold.

Statement from Paul Courant of the University of Michigan in response to the Authors Guild suit against scanning (UM):

“The University of Michigan library has been digitizing books for more than 20 years Sections 108 and 107 of the federal Copyright Act provide the guidance and the authority for this work, which supports our ability to preserve and to lawfully use the collections that we have purchased and maintained. Moreover, our digitization efforts enable us to make works accessible to people who have print disabilities because the overwhelming majority of works have never been available in an accessible format.

And from the twitter this week.

From InfoBoy: New Report from EU: Electronic Clearance of Orphan Works Significantly Accelerates Mass Digitization: Link

IBM starts its own NYC high school: http://bit.ly/qvl4Ad

Pearson buys virtual school co for $400 million | Reuters uk.reuters.com/article/2011/0…

....

And in sports, Lancashire County Cricket Club which hasn't won a championship for 77 years won one this week on a squeaker end to the season. For Mr PND Senior who is Chairman of the Club, I think this is almost a crowning achievement. And, they get to go to the Palace. (MEveningNews)

News Corp Reports 2Q

Suggesting headcount reductions were on the way, Rupert Murdoch commented that they don't run fat during their presentation of the company's second quarter numbers. Speaking about cost cutting,

We are taking them out everywhere. I mean, I am at Australia at the moment and the local management is in the process of combining all their back offices between the States and (Inaudible). There are many different processes we are doing. That goes right across the company, which is going to save a lot of people and a lot of money. And there are little things, the Wall Street Journal, there are so many numerous small things. We are combining in the back office, the Wall Street Journal and New York Post, which will eventually save about $7 million, certainly $4.5 million in the immediate future. We have also negotiated -- nearly renegotiated nearly all of our delivery contractors across the whole of United States with a saving just starting now of $5 million a year. And it goes on and on. It seems like we are chiseling away at small things, but they do add up to a lot of money.

Due to a non cash impairment write down the company reported a operating income of loss of $7.6billion versus operating income of $1.4billion in the same quarter last year. Without the impairment charge operating income of $818million was 42% lower than the same period last year. Results were off in all divisions except magazines and inserts.

Commenting specifically on publishing,

Turning to the book publishing segment, second quarter operating income contributions were down $44 million compared to last year. This decline reflects the weaker retail book market, the lack of comparable strong releases versus a year ago and a charge of $6 million for the bankruptcy of a customer.

Conf Call Transcript: SeekingAlpha.

From the company's press release:

BOOK PUBLISHING

HarperCollins operating income decreased $44 million versus the same period a year
ago due to lower sales driven by the weakening retail market as well as a difficult
comparison to a year ago that included strong sales of The Daring Book for Girls by
Andrea J. Buchanan and Miriam Peskowitz, The Dangerous Book for Boys by Conn and Hal Iggulden and Deceptively Delicious by Jessica Seinfeld. In addition, segment profits for the quarter were down due to charges related to the bankruptcy of a major UK distributor.

Second quarter results included solid sales of The Hour I First Believed by Wally Lamb, A Lion Among Men by Gregory Maguire, If You Give a Cat a Cupcake by Laura Numeroff and Multiple Blessings by Jon and Kate Gosselin and Beth Carson. During the quarter, HarperCollins had 50 books on The New York Times bestseller list, including six books that reached the #1 spot.

(The $6mm charge for the bankruptcy would be related to Bertram in the UK).

First half revenues for the publishing group were $620mm versus $736mm in the prior year and operating income was $26mm versus $103mm.

NY Times article on News Corp/Dow Jones.