Reuters will launch a new U.S. news service in an attempt to take on rivals including the Associated Press. Its first client will be Tribune Co., which said it will use less material from the AP and reduce its financial commitment to the news cooperative.
Thomson Reuters' new offering, dubbed Reuters America, will focus on state and regional news and incorporate material from a variety of other sources, including The Wrap.com for entertainment news, SportsDirect Inc. and others for sports, and Examiner.com for local coverage.
Tribune is one of several major news organizations that in recent years have complained about the AP's prices and rigid terms as steep advertising declines put newspapers under growing financial strain. The AP has responded by implementing several fee reductions totaling $65 million and introducing several classes of membership.
Read more at the Wall Street Journal
