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	<title>WebProNews &#187; Hyperlocal News</title>
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		<title>&#8220;Hyperlocal&#8221; News Sites Take A Hit</title>
		<link>http://www.webpronews.com/hyperlocal-news-sites-take-a-hit-2007-07</link>
		<comments>http://www.webpronews.com/hyperlocal-news-sites-take-a-hit-2007-07#comments</comments>
		<pubDate>Fri, 06 Jul 2007 20:38:51 +0000</pubDate>
		<dc:creator>Doug Caverly</dc:creator>
				<category><![CDATA[Search]]></category>
		<category><![CDATA[Backfence]]></category>
		<category><![CDATA[BusinessWeek]]></category>
		<category><![CDATA[CNN]]></category>
		<category><![CDATA[Google]]></category>
		<category><![CDATA[guardian]]></category>
		<category><![CDATA[Hyperlocal News]]></category>
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		<guid isPermaLink="false">http://www.webpronews.com/?p=38964</guid>
		<description><![CDATA[<p>A lot of big companies - from Google to CNN - are interested in &#8220;going local,&#8221; and, to be honest, it seems that those companies have the money to do whatever they want.&#160; But &#8220;going local&#8221; isn&#8217;t easy; Backfence.com, which focused on a number of smaller communities, is going out of business.<br />
<br />
]]></description>
			<content:encoded><![CDATA[<p>A lot of big companies &#8211; from Google to CNN &#8211; are interested in &ldquo;going local,&rdquo; and, to be honest, it seems that those companies have the money to do whatever they want.&nbsp; But &ldquo;going local&rdquo; isn&rsquo;t easy; Backfence.com, which focused on a number of smaller communities, is going out of business.</p>
<p><span id="more-38964"></span> The <a title="Coverage Of Backfence's Passing" href="http://blogs.guardian.co.uk/organgrinder/2007/07/how_viable_is_the_business_of.html">Guardian Unlimited</a>&rsquo;s Jemima Kiss describes Backfence as a &ldquo;network of citizen journalism sites in the US,&rdquo; and notes that it was &ldquo;touted as one of the big web hopes for the development of participatory media.&rdquo;&nbsp; Backfence&rsquo;s passing has elicited comments from such sources as <a title="Coverage Of Backfence's Passing" href="http://www.businessweek.com/magazine/content/07_13/b4027019.htm">BusinessWeek</a>, <a title="Coverage Of Backfence's Passing" href="http://www.ajr.org/Article.asp?id=4343">American Journalism Review</a>, and <a title="Coverage Of Backfence Passing" href="http://vcratings.thedealblogs.com/2007/07/backfence_another_local_ad_pla.php">VC Ratings</a>.</p>
<p>But despite its apparent popularity, Backfence is indeed dead.&nbsp; Paul Farhi writes, &ldquo;The failure of Backfence may offer no greater lesson than the old one about pioneers being the ones with arrows in their backs.&nbsp; New ventures fail all the time.&nbsp; But it could also sound a cautionary note about the present &#8211; and immediate future &#8211; of hyperlocal news sites.&rdquo;</p>
<p>Should Google, <a title="CNN Delivers Local News With Topix" href="http://www.webpronews.com/topnews/2007/07/06/cnn-com-obtains-local-news-from-topix">CNN</a>, and the rest be worried, then?&nbsp; Farhi goes on to pinpoint Backfence&rsquo;s problems as &ldquo;getting the word out and getting the money in&rdquo; &#8211; problems that bigger companies aren&rsquo;t likely to encounter &#8211; so I&rsquo;m going to say &ldquo;no.&rdquo;&nbsp; But Farhi responds to a similar question (&ldquo;Is there a real business in this kind of business?&rdquo;) with an answer that Google and CNN won&rsquo;t like; companies without piles of money will hate his discovery that hyperlocal news isn&rsquo;t yet profitable.</p>
<p>I dunno.&nbsp; Some pioneers were able to pave the way for others, but there&rsquo;s no doubt that some pioneers just died.&nbsp; It remains to be seen into which of those groups Backfence will fall.</p></p>
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