[Zach Seward]

I first met Zach Seward when he was running Quartz, the news startup with the quippy haiku notifications that had, at the time, captured a lot of the media world's attention. It was really good. This piece, by Zach, is written on the heels of the last writers having been fired by G/O Media, with the empty husk sold on to another buyer for the email list.

"Still, we also hoped to endure on the scale of centuries, just like rival news organizations — in particular, The Financial Times, The Economist, and The Wall Street Journal — that we viewed as our Goliaths. For a stretch in the middle there, it even seemed possible. But Quartz never made money. We grew, between 2012 and 2018, to nearly 250 employees and $35 million in annual revenue. The dismal economics of digital media meant losing more than $40 million over that stretch just to grow unsustainably large."

And so:

"By 2022, we were running short of cash and didn't have anyone willing to put up more money, especially as enthusiasm waned for the entire digital-media sector. We put together a quick M&A process and made clear that preference would go to anyone willing to take on all of the roughly 80 people still working at Quartz."

And then, we already know what happened next.

Quartz isn't the only story that ends this way. It's sad to see a venture that aimed to do good things, hired good people, and took an innovative approach still find itself at the mercy of an uncompromising market.

Left unsaid but felt in the room: Quartz grew with an enormous amount of venture investment but couldn't realize the scale necessary to make good on it. This is the story of almost all venture-funded media. That doesn't mean venture funding is always bad, but I don't think it's a good fit for media companies. Journalism, inherently, does not scale. It requires a different approach which allows it to convene communities, have a more human touch, and, frankly, grow more slowly.

Which doesn't mean that Zach, or David Bradley or anyone else at Quartz are at fault here. It was a good thing that was worth trying. And they made a dent in the universe while they were doing it.

#Media

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