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News

State media faces funding cuts

Russian state-owned media outlets are to face budget cuts, as the government is to slash nearly 4 billion rubles from their planned funding this year.

The issue has been discussed at the governmental anti-crisis commission’s sessions, Gazeta.ru reported on Thursday, and the decision to reduce expenditures on the media has been endorsed at the governmental commission for budget planning, a source told the news website.

The information has been also confirmed by Prime Minister Dmitry Medvedev’s press-secretary. “Budget requests are being approved at the moment. The general cuts for all state-owned media have been set at 5 percent,” Natalia Timakova was quoted as saying.

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Pirates in Russia plunder e-book market

Russia's publishing industry faces a tough challenge in fighting the illegal downloading of books, which is limiting the sales of print and e-books.

Sales of e-books in Russia are rocketing. Increasing twelvefold in the past three years, sales in 2011 totalled 135m roubles (£2.6m). However, these are dwarfed by the high number of illegal downloads, which account for as much as 90pc of the e-book market. In Britain, illegal downloads make up only 29pc of the market, according to Entertainment Media Research.

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First Issue of Cosmopolitan for iPad Released

The Russian edition of Cosmopolitan celebrates its 18th birthday in 2012. The very first Cosmopolitan for Russia was released in May 1994. The print run of 60,000 copies – enormous for that time – disappeared from shelves within mere days. Neither the publishers nor the readers had expected that degree of popularity. Print and radio media were all abuzz over the appearance of a new type of publication in Russia: It was a true glossy sensation.

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A Dramatic Change in the Russian Media Landscape: Yandex Displaces Pervy Kanal as the Most Visited Outlet

As Russia has grown much wealthier over the past decade, Russians have started using the internet in ever-greater numbers. The pace of this change has picked up noticeably over the past few years, and it would appear that Russia has reached a sort of “tipping point” in terms of internet penetration. Not everyone is one the internet, but a very large segment of society is and this group is large, wealthy, and self-confident to an extent that it can increasingly drive the conversation. The days when state-run television networks such as Pervy Kanal, Rossia, and NTV totally and utterly dominated the media landscape, and when the opposition had to content itself with a few small-circulation newspapers and the Echo Moskvy radio station, are over. More importantly, unless the Kremlin launches a truly draconian internet crackdown, they aren’t coming back.

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Russian periodical media landscape

Russian print media market in 2011

In general, the situation on the press market got better in 2011. All major indicators improved.

The volume of press advertising increased by $1.03 billion compared to 2010. The total volume amounted to $1.5 billion.

According to the Federal Agency on Press and Mass Communications data, the retail press sales revenue was $1.4 billion, which is $12.5 million more than in 2010.

The subscription market increased by $14 million and totaled $715.625 million.

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