Oct 28, 2021: The Information’s Creator Economy Summit

Alex Mather. Photo by Erin Beach
Exclusive

The Athletic Burned Through $95 Million Between 2019 and 2020

Photo: Alex Mather. Photo by Erin Beach

Digital sports news firm The Athletic hemorrhaged nearly $100 million cash between 2019 and 2020, according to a presentation prepared for investors, exceeding the $73 million in revenue the company brought in over that same period.

The heavy losses reflect primarily the cost of building up a 600-person–strong reporting staff to cover local sports in both the U.S. and Britain, said a person familiar with the situation. And it shows the challenge for digital media firms of building profitable businesses while investing heavily in content to draw subscribers. That’s an issue video streaming services such as Netflix have also struggled with.

Get access to exclusive coverage
Read deeply reported stories from the largest newsroom in tech.
Latest Articles
 
Q&A Crypto Startups
Ripple CEO: It’s ‘a Joke’ That Some Execs Believe SEC Isn’t Harming Crypto
Ripple Labs CEO Brad Garlinghouse.  Photo: Ripple Labs
Ripple Labs, the $10 billion valuation startup behind the digital currency XRP, has ridden a wave of interest in crypto: Transactions on its payment network gained 33% in the third quarter, bolstering its bank balance to more than $500 million. Blank-check companies have approached the firm about taking it public through a merger, said CEO Brad Garlinghouse in an interview. But things could be...
Latest Briefs
 
Facebook Settles With Government In Worker Discrimination Probe
Instacart Acquires Checkout Technology Service Caper AI
Alibaba Launches Fashion E-Commerce Site for Western Consumers
Stay in the know
Receive a summary of the day's top tech news—distilled into one email.
Access on the go
View stories on our mobile app and tune into our weekly podcast.
Join live video Q&A’s
Deep-dive into topics like startups and autonomous vehicles with our top reporters and other executives.
Enjoy a clutter-free experience
Read without any banner ads.
Google Cloud CEO Thomas Kurian in 2019; photo by Bloomberg
Exclusive Enterprise Google
Why a Key Google Cloud Product Ended Up Generating Less Than 0.1% of Revenue
Three months after becoming CEO of Google Cloud, Thomas Kurian tried to shake up the cloud market and gain an edge on his bigger rivals, Amazon and Microsoft.
Illustration by Danielle Davis
Exclusive Startups E-commerce
Heavy Losses, Big Funding: Instant-Delivery Startups Battle for Customers
The instant-delivery wars have hit New York City—and they will soon spread across the country.
Art by Mike Sullivan
Exclusive Startups Facebook
Facebook’s Ad-Tracking Loss Is Startups’ Gain
Apple’s clampdown on ad tracking has prompted some small online merchants to cut back their ad spending on social media sites like Facebook, which they see as a less effective outlet than in the past.
Exclusive Google
How TikTok Is Changing YouTube
YouTube isn’t just trying to mimic TikTok, the viral short-form video app that has taken the world by storm.
Will Shu. Photo courtesy of Deliveroo
The Big Interview Amazon E-commerce
Deliveroo CEO Sees Echoes of Scooter Fad in Ultrafast Delivery
Every few weeks, Will Shu takes a night off as CEO of Amazon-backed Deliveroo to bike through London, delivering restaurant meals or groceries in the place of one of the newly public company’s 110,000 gig workers.
Udemy CEO Greg Coccari. Art by Mike Sullivan
Exclusive Markets
As Udemy Plans IPO, Instructors Complain Policy Change Cut Their Pay
As online education service Udemy prepares to market its initial public offering later this month, Udemy’s instructors are grumbling on the sidelines.