Al Jazeera, which made a massive investment in covering the United States less than three years ago, is slamming the brakes on its American operation.
Al Jazeera America, a cable news channel that debuted in August 2013, is shutting down. Employees were informed of the decision during an all-hands staff meeting on Wednesday afternoon.
During the meeting, Al Jazeera America brass said the channel's business model was "no longer sustainable." It will shut down by April 30, an Al Jazeera American executive told staff, saying the decision was made by the channel's board of directors and was not a reflection of the quality of their work.
Employees also were told that Al Jazeera will pursue a new global online strategy online with content delivered from the U.S. later this year.
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"I know this will be a massive disappointment for everyone here who has worked tirelessly for our long-term future. The decision that has been made is in no way because AJAM has done anything but a great job," CEO Al Anstey wrote in an email to staff that was distributed after the meeting.
"In recent months at every level, and in every department, we have been making progress and demonstrated improvements and seen positive change," the note continued. "Our audiences continue to climb. Slowly, but steadily. Our Editorial excellence was demonstrated time and time again on the major stories of recent months. And we continue to win praise from our colleagues in the industry, and from our viewers for the quality of our output."
The Qatar-based Arab-language broadcaster Al Jazeera created an American channel two-and-a-half years ago in a bid to bring its brand to U.S. audiences that were increasingly being exposed to global media.
Al Jazeera made a mission of doing in-depth, enterprising reportage that would eschew what it saw as the frenetic, soundbite-heavy character of U.S. cable news.
But the channel failed to build up a substantial viewership here, and was available only in about 60 million American homes, compared with roughly 100 million households that have cable TV. Its ratings, which approached 20,000 viewers in primetime in 2015 and 19,000 total, according to Nielsen, were paltry compared to the big-three cable news channels.
Al Jazeera bought its way into the U.S. market for a reported $500 million in January 2013 when it acquired Current TV, the struggling news channel co-founded by Al Gore in 2005, and took over its slot on the cable dial.
It built out a large newsroom in Midtown Manhattan and hired talent from legacy news networks like CNN and ABC, including former ABC News executive Kate O'Brian, who was named president of Al Jazeera America.
The channel also faced internal turmoil, most notably a series of discrimination lawsuits that led to the ouster of Al Jazeera America's founding CEO.
Today's all-hands meeting and conference call, which POLITICO was able to access, was an emotional one. Some employees were in tears, and others who were out on the road covering the campaigns and other news stories were left with uncertainty about whether they would be called back home.
Employees were told that broadcast operations would begin winding down and that separation packages were being structured to give them another 90 days on the payroll with benefits.
People who are willing to stick around during the 90-day grace period will receive retention bonuses as well as eight weeks of severance pay and outplacement services after they leave.
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CEO Al Anstey's email to employees is below:
Dear All,
You will have just seen the announcement from the Network about the closure of Al Jazeera America by April 30th this year. In the same email you will see the Network plans to expand its global digital services later this year. The decision is driven by the fact that our business model is simply not sustainable in an increasingly digital world, and because of the current global financial challenges.
I know this will be a massive disappointment for everyone here who has worked tirelessly for our long-term future. The decision that has been made is in no way because AJAM has done anything but a great job. Our commitment to great journalism is unrivaled. We have increasingly set ourselves apart from all the rest. And you are the most talented team any organization could wish for.
We are working hard to ensure we put our people at the forefront of every decision related to the closure of AJAM, and we do the right thing by you. There will be a series of HR briefings meetings later today where this will be discussed in more detail and your questions can be answered. The briefings will also outline a number of other measures that are being taken in order to support every one of you as a result of today’s announcement.
You are a brilliant team made up of the most committed, professional, and dedicated people. I am deeply impressed and appreciative of the dedication and skill demonstrated by every one of you.
In recent months at every level, and in every department, we have been making progress and demonstrated improvements and seen positive change. Our audiences continue to climb. Slowly, but steadily. Our Editorial excellence was demonstrated time and time again on the major stories of recent months. And we continue to win praise from our colleagues in the industry, and from our viewers for the quality of our output.
__________________
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A shame, Al Jazeera had some pretty good content, but it doesn't surprise me that they couldn't make it here in the US. Their logo included Arabic calligraphy, and that's Unamerican.
How is Arabic calligraphy Islamic? You realise that we use Arabic numbers? So the math tests you took in high school were really just you representing Islam?
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