The sale of The Buffalo News and other newspapers owned by Warren Buffett's BH Media Group to Lee Enterprises is the latest consolidation move in an industry that is grappling with steep declines in advertising.
With competition from online news sources rising, newspapers – especially regional and local papers – have been struggling with the shift in advertising to digital sites, which now accounts for nearly half of all U.S. advertising revenue, according to eMarketer. Half of that digital ad revenue goes to just two companies: Google and Facebook.
"It fits in with several trends in the industry," said Rick Edmonds, media business analyst at the Poynter Institute.
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