Link: AI platforms are unlikely to become a major source of traffic or ad revenue for media outlets, with content deals offering only a short-term revenue boost (Om Malik/On my Om)

The widespread misinterpretation of digital transformation by traditional media has consistently paved the way for tech giants like Google and Facebook to dominate. This gap has notably intensified with the advent of AI platforms, to which old media has recklessly surrendered its content, further jeopardizing its role and influence.

While some media outlets believe partnering with AI platforms such as OpenAI will drive web traffic and revenue, their chances of shaping this new era are slim. Traditional media's attempts to mold the trajectory of AI advancements or the policies of tech behemoths are largely futile.

AI's capability to tailor and summarize content has disrupted traditional media and advertising models, making them obsolete. Instead of serving broad audiences, AI platforms respond with precision, undermining the mass-media framework that relies heavily on standardized content and advertising.

Despite the initial promise of increased engagement and profitability, the harsh reality is that companies like Facebook have often reneged on their commitments to media partners. The newer AI entities are likely to follow this path, reducing their reliance on traditional media even further.

The relentless focus on engagement metrics has also transformed content discovery into a superficial chase for clicks, pushing credible media to prioritize sensationalism over substantive reporting. This has led to a cluttered and invasive media landscape, driving consumers towards quicker, more digestible content formats like those on social media platforms.

The development of AI should prompt a major reevaluation of business models in journalism. As AI becomes more integrated into our daily internet use, traditional media must innovate or face obsolescence, turning away from outdated models toward more direct and meaningful user engagement. #

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