Urgent call for action as Icelandic media face crisis

The Icelandic Journalists’ Union is increasingly concerned about the state of independent media in Iceland. Sýn’s decision to stop broadcasting weekend evening news — and the accompanying layoffs — is the latest example of a worsening operating environment, and both the government and the public must recognise the seriousness of the situation.

This is among what Sigríður Dögg Auðunsdóttir, chair of the Journalists’ Union, says in an interview with mbl.is. The decision, she notes, comes as no surprise.

“We know how difficult the operating conditions have been for Icelandic media, and we have been waiting for the government to take further action — but it’s clear that there is no more time to wait. This is the last chance,” she says.
“It was only recently that Fréttablaðið shut down, and now there is only one daily newspaper left. Do we want to end up with just one TV news station as well?”

Support for media is not business support

Sigríður says the situation is extremely serious. First, she argues, the government must recognise that because of the sweeping changes in media worldwide — in technology, business models, and audience behaviour — Iceland needs much stronger support mechanisms. Given the country's small size, domestic outlets cannot compete with foreign media giants.

Article on Iceland Monitor

Sýn is ending weekend evening News broadcasts

Second, she stresses that government support for privately operated media is not like subsidies to ordinary private companies. These outlets are not run for profit, she says, but out of principle and in service of the public.

“There is no doubt anywhere in the world about how vital the media are for democracy. We see it in the great effort autocrats make to control the press in order to control society,” she says.

“We are all trying to counter this — trying to respond to the information threats facing democracies from outside forces. Everywhere, the consensus is that the best way to strengthen societies and increase their resilience is to support the media, newsrooms, and journalism.”

This, she says, requires societal consensus and a collective effort. The government must step up, the public must subscribe, and companies must advertise in Icelandic media.
“Above all, we all need to understand just how important the media are.”

Not an exaggeration to say media operations are unsustainable

Asked about criticism from Þórhallur Gunnarsson, former media director at Sýn, who questioned the CEO’s remarks about unequal competition with RÚV, international streaming services, and social media, Sigríður says it is not an exaggeration to say that media operations are unsustainable.

“In all the Nordic countries — which consistently top global press freedom rankings and have some of the strongest media systems in the world — the media receive robust government support because they are so important,” she says.

If Nordic media consider such support necessary, she argues, it is obvious that Icelandic media cannot operate without external assistance.

Big tech companies collect the vast majority of the advertising revenue

“Especially when we see that public willingness to buy subscriptions is quite low. I doubt they are painting the situation darker than it is. The media sector is simply not sustainable at the moment — but hopefully it will be once this transition period passes.”

It would be ideal if news organisations could fund themselves and generate profit, she adds, but as long as tech companies like Google and Facebook collect the vast majority of advertising revenue and pay nothing for using journalistic content, something else must fill the gap.

“If we want to have media, we need to think of new and stronger ways to ensure they can survive.”