FX.co ★ CNN, Reuters Launch Digital Paywalls

Global news organizations CNN, part of Warner Bros. Discovery, and Thomson Reuters Corp. have both announced plans to introduce digital paywalls as part of their efforts to develop new revenue streams to sustain their journalistic endeavors.

In an internal memo, CNN revealed that it is initiating a subscription model, asking some visitors to pay $3.99 per month for access. This marks the first step in establishing a paywall designed to gradually offset the costs of its journalism.

Alex MacCallum, CNN's Executive Vice President of Digital Products and Services, outlined the initiative on Tuesday, stating, "Starting today, we are asking users in the United States to pay a small recurring fee for unlimited access to CNN.com's world-class articles." The subscription service is currently in its preliminary phase with plans for expansion in the coming months.

Reuters also announced its intention to launch digital subscriptions for its website and mobile app, starting in early October. Their subscription will be priced at $1 per week globally, providing cost-efficient, unlimited access to their reliable and unbiased news coverage.

Reuters emphasized that its pricing strategy is straightforward and transparent with no introductory offers or unexpected price increases. The organization plans to offer a limited number of free articles per month before prompting users to subscribe.

The digital subscription initially will be available in Canada, followed by several European countries and the United States, before expanding to other regions. Reuters subscribers will benefit from clear pricing without any up-front discounts, incremental price rises, or hidden surprises, and can cancel at any time.

CNN's subscription model targets its core audience. Casual visitors who read just a few articles per month will not be required to subscribe immediately. MacCallum noted that users will be prompted to subscribe only after consuming a certain number of free articles. Subscribers will receive unlimited access to CNN.com's content, exclusive election features, original documentaries, a curated daily selection of distinctive journalism, and fewer digital ads.

Certain CNN content, such as the homepage, breaking news stories, standalone video pages, and sponsored articles, will remain free and accessible without a subscription.

CNN plans to invest in new products and businesses over time. Previously, Chairman and CEO Mark Thompson indicated that CNN would create subscription-ready products offering essential news, analysis, and context in innovative formats and experiences, starting with CNN.com's first subscription product, slated for launch before the end of 2024.