Barry Diller on Newsweek’s Future: ‘We Have No Stars in Our Eyes’

Barry Diller told investors that the transition of Newsweek from print to digital-only will be painful

 

Last Updated: October 24, 2012 @ 1:39 PM

Barry Diller, the chief at IAC/InterActiveCorp told investors Wednesday that killing Newsweek's print edition is a "painful process" and he has "no stars in his eyes" about its future as an online publication.

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Investors questioned Diller during the third-quarter earnings call, asking how the print death of the 80-year-old  newsweekly  at the end of the year would affect the health of the Newsweek/Daily Beast business.

"We have no stars in our eyes," Diller said, adding that he is still considering the publication's continued losses a worthy investment. "Our plans for next year or any year forward are not going to relate in any material way to the results for Newsweek."

Also read: IAC Quarterly Earnings Reveal Why Newsweek is Ending Print Run

"We're not projecting that it'll have X or Y subscribers," he added.

Also read: Newsweek Ends Print Edition After 80 Years (Updated)  

"We have made the tough and right decision to cease printing," said Diller, who owns 80 percent of Newsweek/Daily Beast. "We know the results of that are going to dramatically decrease losses in the future — dramatically."

He said that the magazine's prospects have been improved by ending the print edition, which accounted for a $25-$30 million loss this year.

"Always in my life I have lived under a world saying, 'you lost money' and I said 'yes, we've invested money,'" Diller said. "I've had it said in an endless number of situations that, 'oh, we lost money' and I said 'no, no, no, we are investing money.' It's not as if we are taking money out and dropping it in an ocean and seeing it sink."

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