Newspapers told to go online to stay ahead of competition

JAKARTA (JP): Newspapers in Indonesia must go online to survive the increased competition resulting from the Internet, leading newspaper publisher Jacob Oetama of Kompas daily said on Thursday.

The rapid growth of online media, with all the advantages it offers -- from faster delivery and simplicity, as well as interactivity -- poses a serious threat to the survival of the print media industry, Jacob said during a seminar on the impact of information technology on the newspaper business.

To survive newspapers must study the online media, including portal services, and the business opportunities it offers, said Jacob, who also chairs the Association of Newspaper Publishers.

"Publishers have to see the Internet as an opportunity to reinvent the newspaper business," he said.

Newspapers, particularly established ones, have the advantage over non-newspaper companies in plunging into the Internet, he said. "We can use our databases to supplement the content of news websites," he said as one example of this advantage.

Jacob, whose Kompas Online is one of the leading providers of Indonesian news on the Internet, said online publishers must be creative in producing and presenting their content.

Professional competence remains a key factor in surviving in the increasingly competitive information business, he said, adding that journalists would have to work more effectively and professionally.

Small newspaper publishers should consider merging to survive the competition unleashed by the Internet, he added.

In entering the Internet, publishers must consider numerous aspects that could affect their survival, he said.

Competition comes not only from other publishers but also from nonpublishers, corporations and nonprofit organizations such as political parties and non-governmental organizations.

In spite of the Internet's robust growth in providing information, Jacob said newspapers in Indonesia could still count on their traditional readership for years to come.

"Only one million out of Indonesia's 210 million people have access to the Internet at the moment. We still have much opportunity to grow," he said.

The president director of PT Microsoft Indonesia, Richard Kartawijaya, said the Internet's threat to the newspaper industry in Indonesia would not be felt until 2003 or 2004.

"So far, 43 percent of Internet users use it to read news. This proportion will increase," Richard said. (dja)