News Economics: European Media Veterans Launch Informed

The Increasing Cost of News and the Rise of Paywalls

The dissemination of news is fundamentally important for a functioning society, yet its production is a remarkably costly undertaking. With advertising revenues declining across the industry – although a recent summer period showed some improvement – news publishers are increasingly relying on paywalls as a means of financial sustainability. However, a significant challenge has emerged: the previously open internet, which facilitated broad access to information, is now characterized by numerous walled gardens, restricting access to content.

The proliferation of subscription services, a trend discussed three years ago, has demonstrably accelerated. Addressing this situation will require considerable effort, but a team of three experienced professionals from the European news and media sectors is prepared to attempt a solution.

Introducing informed.

Benjamin Mateev, Martin Kaelble, and Axel Bard Bringéus have collaborated to launch informed. (official branding: lowercase, with a period). This Berlin-based startup aims to function as an intermediary layer for leading paywalled news providers. It will connect readers with carefully curated collections of news and opinion pieces, known as Read Lists, and supplement these with original summaries of the content. Founded in January, the company is currently in its beta phase and has secured a “significant pre-seed funding round” from 468 Capital.

The strength of this venture lies in the expertise of its founding team. Bringéus previously dedicated six years to Spotify, culminating in the role of global head of markets during the company’s international expansion. He has recently served as a deal partner at the prominent European firm EQT Ventures. Mateev, meanwhile, was a key engineer on the Wunderlist to-do list platform through its acquisition by Microsoft, and subsequently held the position of head of product at the opinion news site, The European. Kaelble brings extensive experience as a long-standing business journalist, having worked at publications such as Capital.

Research and Findings

The founders, leveraging their diverse backgrounds, undertook a thorough examination of the challenges facing the news industry in 2021. They conducted “diary studies,” requesting participants to document their news consumption habits, distributed surveys to thousands of individuals, and engaged in discussions with media executives and investors.

Their research revealed that paywalls have generally proven successful for media companies in recent years, but growth is beginning to stagnate as the majority of potential subscribers have already purchased subscriptions. Bringéus stated, “Following the COVID-19 pandemic and the Trump presidency, almost all publishers have encountered limitations with their paywall strategies.” He further explained that many publishers are now receptive to collaborating with third parties, such as informed., that do not directly compete for their existing subscriber base.

Concurrently, younger readers, particularly those in Generation Z, express a growing desire to access high-quality news but often lack the financial resources to afford the substantial subscription fees charged by prestigious news organizations. Mateev observed, “They are eager to read, but financially constrained.” He noted that evidence suggests a genuine interest among younger audiences in consuming quality news, despite the prevalence of short-form video content on platforms like TikTok.

How informed. Works

Informed., partnering with publications like The Washington Post, The Economist, Financial Times, and Bloomberg, will compile articles from these and other sources into Read Lists. These lists will be accompanied by original news summaries providing context and analysis. For instance, a Read List focused on Afghanistan could include breaking news reports from the Kabul airport alongside in-depth articles and opinion pieces exploring the historical and political context of the crisis. Bringéus described this approach as offering readers the option to “snack or have a full meal.”

He acknowledged the parallels with Spotify playlists, given his familiarity with that platform, but emphasized that news differs from music in key respects. “In the realm of news, comprehensive coverage isn’t always necessary, and information has a limited lifespan, making clustering particularly valuable,” he explained.

Launch and Business Model

The company plans to launch its mobile-first product later this year, with a beta test currently available for sign-up. The business model will be freemium, with access to licensed content requiring a subscription, while informed.’s original news summaries will remain freely available. The team is currently evaluating pricing options and has not yet finalized a launch price.

This initiative represents a significant undertaking in a landscape littered with the failures of previous startups and large corporate ventures, such as Apple News+, which has struggled to gain widespread adoption despite its integration with iOS devices. Despite this challenging history, the founders believe the timing is favorable: a new generation of readers is actively seeking quality news, and publishers are increasingly willing to relinquish some control over their audience in exchange for growth in the evolving post-Trump media environment. Success in this endeavor would undoubtedly be a major development in the news industry.