By Ragnhild Kjetland – // Oct 14, 2010 4:58 AM MT Thu Oct 14 11:58:49 GMT 2010

Google Inc. is talking to publishers about how to make money from content, said Philipp Schindler, managing director for Northern and Central Europe.

“We see ourselves as a technology partner and we are working with many publishers to determine if it’s possible to develop a payment platform,” Schindler said during a panel discussion at the Media Days event in Munich today. “We are convinced that first, copyright must be protected; second, quality content is valuable; and third, we hope publishers manage to adjust their business models to the digital world.”

Schindler declined to say who Mountain View, California- based Google is talking to or when it might reach its first agreement. He said it’s discussing subscription models; micro- payment models where users may, for instance, pay per article; or models where a newspaper or magazine is accessed through an application bought for use on a smartphone or tablet computer.

“The solutions may be very publisher-specific, because in the end it’s up to the publisher to decide how they want to monetize their content,” Schindler said. “We try to follow the approach that we always do: open, control to the publisher, rather than a very strict, vertically integrated model that other players in the market pursue.”

Apple Inc. is developing a digital newsstand for publishers that would let them sell magazines and newspapers to consumers for use on Apple devices, two people familiar with the matter said in September.

Apple’s effort is aimed at luring more consumers to the iPad and helping publishers sell subscriptions rather than single issues. The main hang-ups between Apple and publishers including Time Warner Inc., Conde Nast, Hearst Corp. and News Corp. are who controls data about users and how to split subscription revenue, said the people, who declined to be identified because the negotiations are private.

To contact the reporter on this story: Ragnhild Kjetland in Frankfurt at rkjetland@bloomberg.net


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s