CNN launches news program for the iPhone for two dollars

The cable television network CNN on Tuesday released a snippet of news management for iPhone users in the U.S., which has a feature that have few similar programs for the Apple smart phone: it costs money.
On Apple's iTunes site in the United States began offering the program along with others of their so-called "Apps" or snippets to users of iPhone and iPod Touch. The CNN App cost $ 1.99.
Although the price is relatively low, represented a bold step into the world of news for digital media, where users are already very used to read news without having to pay a cent.
The director of USA Today, David Hunke, has expressed concern that news companies are committing to the mobile phone the same mistake they did in the 1990s, when newspapers began to create websites where they offered the news at no cost.

His original idea was to generate revenue through ads, but Internet advertising has not replaced the amount received for their newspapers printed product. Now readers were accustomed to reading news online without having to pay.The news media executives do not want to repeat that in cell phones and therefore how CNN sell your App for iPhone and iPod Touch will be followed closely by other media, struggling to make against losses by advertising revenue.

Some corporate executives believe that communication with cell phones comes the opportunity to finally be able to condition consumers to pay a few dollars in exchange for a steady supply of news in his pocket. CNN is one of the first businesses that will make the test.

CNN believes that readers will pay for your App instead of choosing a free from its many competitors, including one from The Associated Press, noting that the service is better. "It really depends on the quality and nature of what you are offering to market," said KC Estenson, director of CNN.com.Overall, the new App looks similar to CNN television service, with prominent use of photographs and live video signal if you have big news events.

If a plane falls on the Hudson River from New York, App users will not have to run to the nearest television screen, but simply see a live report on their phone.
The program is also customizable, allowing the activation of alarms when there are reports of some topic that interests the particular user. Consumers can select an item of local news, that besides the CNN offer news newspapers notes Topix collected through an internet company that is mostly owned company news.

There is evidence that many readers will not want to pay for an App to read news. The Associated Press, for example, tried to charge $ 2.99 this year for a BlackBerry. Due to the low rate of discharges, AP decided to lower its price and since then the snippet became fallen sharply, said Jane Seagrave, AP's vice president for global product development.
"There were too many more that were in the free market," said Seagrave. For now, The Associated Press is trying to generate revenues from its App by selling advertising.