News Corp. Chairman Rupert Murdoch issued the following statement on the demise of his brainchild:
From its launch, The Daily was a bold experiment in digital publishing and an amazing vehicle for innovation. Unfortunately, our experience was that we could not find a large enough audience quickly enough to convince us the business model was sustainable in the long-term. Therefore we will take the very best of what we have learned at The Daily and apply it to all our properties. Under the editorial leadership of Editor-in-Chief Col Allan and the business and digital leadership of Jesse, I know The New York Post will continue to grow and become stronger on the web, on mobile, and not least, the paper itself. I want to thank all of the journalists, digital and business professionals for the hard work they put into The Daily.
The closing of The Daily doesn’t come as a surprise, as it has lost money from day one and struggled to find an audience willing to pay for news that was largely available for free on the Internet.
That, coupled with News Corp.’s announcement that it was splitting into two publicly traded companies, pretty much sealed the fate of the money-losing tablet newspaper. Otherwise, it would have been placed in the slow growing, low-profit publishing company and not the highly profitable media and entertainment company, and wouldn’t have the same financial resources it had been used to.
While The Daily was an interesting concept, with losses estimated at $500,000 per month it was clear from the start it was destined to fail.