Why is the media establishment suddenly looking fragile?

Afsan Chowdhury | Published: March 18, 2024 20:14:34

In November 2023, we wrote an article titled, " BD media: Why new entrants in an uncertain era?" where we wondered why there were new investors in the media economy when the global economy was not healthy. Our conclusion of sorts was, "It's obvious that if investment is coming in, the need for an indirectly profitable sector like the media exists. It also means that the capital investors have a measure of confidence in the economy in the longer run."
"However, the media is not just about the owners but the professionals and workers who also need some protection in such times. So guarantees of both performance and protection of services should be added to the regulatory framework governing the Bangladesh media world where optimism at the top exists despite all odds." ( Financial Express Nov 06, 2023 )
Four months later should we review it as several media outfits are showing signs of ill health including most new entrants?
A few old ones are also not feeling well. A major paper with a long birth history but which had newly arrived on the scene and was owned by a highly connected bank owner is seriously ailing with most staff gone.
Another very well-funded -once- paper with a strong online presence is unable to pay its staff regularly and has split the payment into two tranches. It owes money top the printers. It had started a new English publication which is bleeding the House. Regaining health is a chancy speculation.
But the new ones are in a serious stumble.
A new publication began a journey just after the election but hit the snag after the first month and has been unable to pay its staff after the first month let alone its contributors. It had quality names and depended partly on translated content and part timers but had not yet paid anyone. As a disgruntled voice complained, "they don't pick up the telephone anymore. "
A digital weekly didn't even pay the staff the first month and it's only in the third month that the first salary arrived. Contributors have not been paid after three months. The owner has developed major cash problems, the market says.
The third one has begun but no one has been paid regularly and most staff have been let go. Like the banks, the paper is also looking for a merger partner.
In general, regular payments are no longer practiced in most papers and outlets, new or old. While the media world products - Prothom Alo and Daily Star- remain healthy, the overall future is now a bit uncertain and everyone has adopted a wait and see attitude. But it's obvious that the problems in the media world aren't a media issue but one concerning the owners. The crisis is in the management sector.
Which is why it's intriguing why our smart capitalists came into the playing field in the first place and are now coughing from a bad infection? Is it a seasonal ailment which so many in Dhaka or a longer organic one hitting the lungs is the issue?
Some of the issues can't be ignored including the nexus capitalism system is itself saturated. There are more cronies than capital in Bangladesh which is creating a new public health problem.
The idea that crony capitalism and market capitalism is the same is an error and that is where the main problem is. This is now rearing its angry self-devouring face after its run out of breadth. The basic point is, just about everyone is claiming to be a crony but the system is based on exactly the opposite principle.
Only few are supposed to be cronies and only they get the benefits. But so many are now in tough competition to be a crony and too many cronies are spoiling the economic broth.
Thus it has reached a point where not every crony can be rich beyond reason and spend the surplus in buying social capital which is the media product. It's not as lucrative and fun to be a crony because there are too many of them. The crony market is saturated.
The general and the media market is also saturated and since all products look the same, the ad market has severely shortened for all and many outlets have shut down major operations and are surviving with a skeleton staff just to keep the brand alive.
Direct digital advertisement is more and Google driven internet follow clicks not connections. The result is the lack of revenue already in short supply for the last few years and critically short now. In the end, feeding a cow with endless hunger is no fun.
But the media market also has its logic. It's possible that only a handful of outlets, perhaps only 5 + are able to survive in the BD market without subsidy. That means the market forces are finally exerting its logic. It has been hastened by the various global conflicts which has made the crony capitalism market insecure leading to a loss of capacity for surplus expenditure.
No matter what the reasons are, in the end, the conventional media market, not to mention the crony capitalism market , both of which are unrealistic in Bangladesh may have developed a system of its own and the system is demanding that rules, however idiosyncratic may dominate, little or more.
afsan.c@gmail.com