Gannett Split Indicative Of New Media Order

[Commentary] Gannett's move to split into two companies -- one encompassing broadcasting and digital, the other publishing -- is the latest move in a trend reflecting current economic and regulatory realities.

Newspapers have taken it on the chin with the advent of the Internet and the shift of classified advertising, once a newspaper mainstay, to the digital platform.

The split will allow Gannett to avoid Federal Communications Commission newspaper-broadcast cross-ownership restrictions, enabling it to take advantage of acquisition opportunities in each sector.

"There will be fewer regulatory obstacles in two consolidating industries," Gannett CEO Gracia Martore noted, adding that, "Both companies will continue to collaborate on cross-platform sales."