Network Ten closing 10 Daily website

Network Ten confirms it will close the 10 Daily news and entertainment website after just two years, with 20 jobs to go.

Screen grab of the 10 Daily website on the day Ten Network said it would shut the service. Picture: Supplied.

US media giant ViacomCBS is ramping up the integration of its operations in Australia and New Zealand with Network 10, which includes the axing of the television broadcaster’s news and entertainment website 10 Daily and staff lay-offs.

ViacomCBS’s local content boss Beverley McGarvey told staff on Monday the integration that started on May 1, when its sales teams were merged, “will now extend across all aspects of our combined organisation”.

“As part of the measures being undertaken, some staff will leave Network Ten and ViacomCBS Australia and New Zealand,” Ms McGarvey said in an email to staff, seen by The Australian.

The Australian understands the websites closure on Friday will result in 20 staff lay-offs, with 10 people to remain with Ten, which has about 900 staff, in other areas. Its unclear how many jobs will go as part of the integration plans.

The news comes just days after BuzzFeed announced the closure of its Australian site.

Australia’s third-ranked commercial television broadcaster Ten is cutting costs as advertising revenue drops sharply during the coronavirus crisis.

The broader media sector, which was facing weak ad revenue prior to the health and economic woes, is cutting costs and jobs, as well as temporarily suspending the printing of newspaper sections, as well as regional and local mastheads and magazines.

Ms McGarvey said the changes are part of the executive restructure announced in March, which included the departure of Ten’s chief executive Paul Anderson.

“Now we are sharing the changes that are the next step in integrating our business and establishing a truly combined company.

“The way people are consuming media has changed and will continue to change. Linear TV viewing is a critical part of what we do, however, we need to place greater emphasis on the platform-agnostic use of our amazing local and global content,” Ms McGarvey said.

Ms McGarvey said the union of the businesses “creates a business with unparalleled access to global and local content, networks and commercial partnerships”.

“But, as you all know, our industry faces both short-term and long-term challenges and opportunities. The changes being announced [on Monday] will position us to manage those challenges and maximise those opportunities.

“We must take steps to ensure our business is structured to compete and win, and that we have a strong, innovative and sustainable company that can thrive in a rapidly evolving market.”

Ms McGarvey said the recent impact of COVID-19 on the industry has “reinforced the need to continue to align” its business with its changing customer needs and global business model. But stressed the changes are part of its broader strategy, “not a reaction to recent events”.

CBS took ownership of Ten from administrators in November 2017, and merged with Viacom last December, creating a US media giant.

The websites closure was announced by 10 Daily's senior reporter Josh Butler on social media platform Twitter on Monday, and confirmed by a Ten spokesman.

Ten’s decision to shutter 10 Daily, which was set-up in May 2018, follows changes to the broadcaster’s strategy, the spokesman said.

“Network Ten’s digital media strategy is evolving to capitalise on our momentum and match the new global operating model. That means an increased emphasis on streaming services and social media.”

Mr Butler said “there will be a lot of people left without jobs — news, lifestyle and entertainment journalists; editors; video editors; social staff”.

Ten’s spokesman said some of the 10 Daily roles would remain, and some content would transfer to its broadcast video-on-demand service 10 Play and its social media brands.

The latest changes come a week after Ms McGarvey announced Ten would launch a fourth TV channel, aimed at under 50-year olds, later this year.

The new channel is one of Ms McGarvey's first major initiatives since her promotion as chief content officer and executive vice president of ViacomCBS in the region.

Ad spending dropped about 43 per cent last month from a year earlier, according to UBS' media analysts, who cite figures from industry group Standard Media Index. Advertising spending could get worse in May before possibly improving in June, UBS reported.

In a research report, UBS media analysts Eric Choi, Tom Beadle and Claire Yan said the double-digital fall in agency booking numbers in April is “broadly consistent with recent media owner updates”. However, the growth rate could improve once late digital bookings were accounted for.