Note that Bezos is buying the paper personally. This means that, unless he feels otherwise, the Post no longer needs to make a profit.
What I hope is what I think: Bezos did not buy this with the thought it was a good investment, but as a semi-charitable endeavor. Best case is that Bezos will be willing to, within reason, fund loses.
Note that the Washington Post is still profitable, but has done that while repeatedly laying off journalists. At least for a while, I think that will stop.
As an off and on Washington Post reader, I now have an interest in Amazon not tanking financially. Because if Amazon does tank, then Bezos may be prompted to monetize his Washington DC investment.
In as much as Bezos is doing this out of self-interest, I don't think it is directly financial. But the move obviously helps Amazon where Washington DC politics is important. Bezos doesn't need to use his power to shape news coverage. Just the fear that he could reduces the chances of ever getting unwanted antitrust attention.
Last edited by SteveEisenberg; 08-05-2013 at 08:20 PM.
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