Axate and the Future News Fund: what's the story?
So… what’s the story behind Axate and the #FutureNewsFund?
It all started in September 2018, when DCMS issued a call for evidence in Dame Cairncross' review into the the challenges facing high-quality journalism in the UK.
Axate CEO Dominic Young submitted a response, drawing on his knowledge from years in the digital publishing industry, licensing and IP, and outlining the thinking that led to his launching Axate's casual payment system. The review was published in February 2019.
One of the review's focusses was the uniquely ‘complex and demanding issue’ of the future of local press. Cairncross recommended that ‘investment in, and encouragement of, innovation is vital to ensure that local journalism survives the transition [to the digital age]’.
We were lucky enough to be recognised by Cairncross, who (separate to her report) cited Axate as one innovative way that the news industry could successfully diversify their revenue streams. Journalismnews reported: https://www.journalism.co.uk/news/cairncross-new-experimental-funding-models-could-offer-hope-for-publications-future/s2/a746679/
You might also remember Roy Greenslade’s article for The Guardian, where he spoke to Dominic Young about Axate in the wake of the Cairncross review: https://www.theguardian.com/media/commentisfree/2019/feb/03/digital-innovators-future-funding-newspapers
In response to Dame Cairncross' recommendations, the government has appointed Nesta and Bethnal Green Ventures to test new approaches to public interest news with their #FutureNewsFund pilot scheme. We’re very proud to be one of the 19 winners of their grant.
In case you’re new to Axate, we’re a casual payments system that makes paying for news as easy & seamless as browsing. It works like a digital wallet: upload some money, then simply pay for the articles you read, without having to commit to the ongoing payment of a subscription.
Axate opens up a whole new revenue stream for publishers, who weren’t previously able to monetise the casual majority of readers who - although might love their product - aren’t ready to subscribe yet. Publishers can choose to charge readers per article, day or week.
Since the review, we’ve launched on tens more sites, including several local news sites. These local sites have seen great success, with the number of readers paying for their product increasing every day. But we wanted to make their journey towards reader revenue even better.
That’s why, with the support of Nesta, Bethnal Green Ventures and Wilson Fletcher, we’ll be developing a programme that helps local publishers make the most out of Axate’s casual payment system, and generate reader revenue in a sustainable & scalable way.
The programme is 90 days long, and will support a handful of local publications - starting with Baylis Media and The Barnsley Chronicle - in developing their reader revenue strategy through workshops, events, and support in making the most of Axate’s casual payments system. Stay tuned for more updates!