Jez Walters and Eric shanfelt dive into the most significant developments impacting the digital media this month, from major platform updates to strategies for increasing company valuation. Here are the highlights:
Transparency and the Next Generation of Readers
A new report titled NextGen News 2 from FT Strategies explores what audiences will look like in 2030. For this upcoming generation, transparency is paramount. It is not enough to simply exist on the platforms where these users are; publishers must prioritize authenticity.
To build trust, publishers should back up claims with verifiable facts and link directly to those sources. We are seeing a trend where authenticity—such as labeling content “100% Guaranteed Human”—is becoming a differentiator against the proliferation of AI-generated content. This push for transparency aligns with current search and discovery algorithms, which also reward content that cites sources and provides transparency.
Google Discover February 2026 Core Update
Google is rolling out a core update specifically targeting Google Discover. This update aims to remove sensational, clickbait stories and prioritize locally relevant content. For example, content written for a specific region by a local publisher is more likely to appear than content from an outsider.
Publishers should monitor the Google Discover section of their Google Search Console to track performance. To maintain visibility, avoid using hyperbolic words like “devastates” or “destroys” in headlines. Furthermore, Google is deprecating content that simply rewrites press releases; the algorithm is now rewarding timely and original insights.
From a technical standpoint, your featured images are critical. Documentation indicates that featured images must be at least 1200 pixels wide to maximize the likelihood of appearing in Discover. Additionally, despite rumors of its demise, Accelerated Mobile Pages (AMP) remains a significant factor for surfacing content in Discover and News aggregators.
The Shift in Discover Traffic: AI and Social
Recent data from Marfeel indicates a major shift in the Google Discover ecosystem. In the US, 51% of Google Discover entries are now AI summaries. Of those summaries, only 23% link back to publisher content. Instead, 77% of these summaries redirect to YouTube or X, keeping users within a specific ecosystem.
This trend highlights the importance of platform diversification. Publishers who have left X may need to reconsider, as posting content there is becoming increasingly important for discoverability. A robust video strategy involving YouTube, Instagram Reels, and TikTok is also essential to adapt to these changes.
Collaborative Journalism
With resources becoming tighter, news organizations are increasingly collaborating on major stories. A prime example is the Kansas Local Journalism Collaboration, where ten organizations pooled resources to investigate 20 years of building permit data.
By working together on the research and data gathering, these publishers were able to uncover a major story about housing shortages that they could not have tackled individually. Each publication then wrote its own unique angle on the story, allowing them to produce deep, unique content. This approach allows media companies to compete through cooperation, creating valuable content that cannot be easily replicated by generative AI.
The “Liquid Homepage” vs. Reality
There are predictions that AI will transform publisher websites into “liquid homepages” that automatically adapt headlines and content organization to individual user preferences. While this technology is developing, it may be overkill for niche publishers.
Most niche publishers do not produce the volume of stories required to tune a homepage for individuals in real-time. More importantly, analytics often show that the homepage accounts for less than 5% of total page views. Instead of investing heavily in complex homepage tech, publishers should focus on optimizing their article pages, which are the primary entry points for readers.
Improving the Paid Subscriber Experience
A recent critique of Business Insider highlighted a common frustration: paid subscribers are often forced to view an ad-heavy experience. If a user pays for a subscription, publishers should provide an ad-free experience on the website and in newsletters.
The potential loss in ad impressions is negligible compared to the value of retaining a subscriber who pays $130 to $150 a year. Providing a clean experience demonstrates respect for the paying customer and can help reduce churn.
On-Site Conversational Search
New tools are emerging that allow publishers to integrate conversational AI search directly into their websites. For example, Taboola has developed a tool called “Deeper Dive” that lets users ask questions about a topic and receive answers based solely on the publisher’s content.
While these tools are fascinating, the challenge lies in changing user behavior. Users already turn to major platforms like ChatGPT or Gemini for general inquiries. For on-site AI search to work, publishers must position themselves as the “vertical search engine” for their specific industry, offering unique value that general AI cannot provide.
Drivers of Media Company Valuation
A recent report from A Media Operator outlines the three key factors driving media company valuations: data, subscriptions, and events.
- High-Value Subscriptions: Investors are looking for subscriptions based on proprietary data and market analysis, not commodity news that is easily found elsewhere.
- Events: In-person events build community and offer an experience that AI and digital platforms cannot replicate, providing a competitive moat.
- Data: This includes both industry data products and first-party audience data (CDP) that aggregates demographics and behavior for lead generation.
Ultimately, success comes down to creating valuable, non-commodity content, data, tools and experiences that serve the specific needs of your audience.