E-Ink May Prove Profitable in The Future

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By: E&P Staff As print newspaper revenues continue to fall, Bill Richards wrote on the Crosscut Web site that papers may want to look to devices such as Amazon?s Kindle, which use E ink technology.

Such devices could make up for the losses in print and make the newspaper industry very profitable. The Web has taken away both readers and ad money from print papers, but it hasn?t grown ad revenue enough to make up for the losses.

Hearst has announced plans to release a wireless online paper within the next two years, using E ink technology with a flexible screen device the size of a tabloid paper.

The costs of an e-paper are mostly fixed because circulation is not an issue. The devices are simply a new delivery system for old content, which eliminate production and distribution costs. The building and general and administrative costs at the paper would shrink with the e-paper being the only version. The staff, like in the hypothetical paper could also be cut in half.

Advertisers may be more interested because the ads are still displayed in the same manner they are in the regular print newspaper because the e-paper screen is the size of a tabloid paper. Ads could also target specific audiences.

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