Nicholas Carlson of Business Insider writes about The Information, the new tech news site launched by former Wall Street Journal reporter Jessica Lessin that is charging $39 per month for access.
Carlson writes, “While all of us are laughing about how information wants to be free, Lessin and her colleagues are probably going to build a nice business for themselves.
“The company has five full-time staffers and two more contractors.
“If you figure the cost of each employee is about $100,000, then The Information only needs to find about 1,800 annual subscribers to break even. Fewer if people go for the monthly option.
“At that point, Lessin will have created a media company that pays five journalists solid full-time wages. And she’ll be doing it her way – with serious headlines for serious stories written for serious people, etc.
“At that point, the company will be a success by any sane measure of success.
“(Are your investors happy? Check. Employing people sustainably? Check. Living a fulfilled life doing it? Check.)
“If Lessin somehow finds 5,000 subscribers, her company will have a profit of $1 million. Ten thousand, and Lessin will be $2 million into the black.”