The Australian’s new digital media contract with VSP will see its content provider pay an additional $2.2 million to news outlets.VSP has been in the news this year over allegations of paying media moguls for access to its staff and clients.
The revelations have led to a shake-up of the company’s management.
The news organisation, which has about 40 employees, is being paid an extra $2 million under a new contract with a media management firm.
It’s the latest move in a string of news organisations to cut staff, including the ABC, Fairfax and News of The World.
The deal with MediaGuardians comes after VSP announced that it would pay the ABC $1.9 million more in total over three years.
In a statement, News Corporation said the media giant was an integral part of the news organisation’s mission, but it would not be involved in any news business decision.
News Corp CEO James Murdoch is a key shareholder in VSP.
He has also owned the News Corp-owned Australian Financial Review and News Ltd, which owns the Sun newspaper.
News Corp is also a major shareholder in News Corp News Corp’s chairman, Rupert Murdoch, is also the owner of the Melbourne newspaper, The Herald Sun.
News Ltd, owner of The Herald and The Age, has also made its move to the digital media market.
In an internal email, the paper’s general manager, John Kavanagh, wrote: “It is no surprise to us that News Ltd is considering a digital media business.
We see a strong value in this new business model and look forward to working with VSE on it.”
The company’s board also includes VSP board members David White and Simon Danczuk.
Danczak is the chairman of Fairfax Media, while White is the CEO of News Corp.
The new VSP contract will see VSP pay $2,200 more per article than what the company currently pays to News Corp and Fairfax.
Vsp is also paying a further $2 to the ABC for its content, which will also increase to $1,500 per article.
The News Corp media unit is not part of VSP as it does not own The Herald, The Age or The Sun.
However, the Australian’s parent company, News Limited, owns the Sydney Morning Herald, Sydney Morning Telegraph and The Sydney Morning Star, which are all owned by News Corp as well.
The company has said it will also be paying $2 per article to Fairfax Media for its digital content, despite the deal with the News of New Zealand.
“The ABC and Fairfax will pay a greater share of our revenues and profits to VSP,” a News Corp spokesman said in a statement.
“Our newsrooms have been in a precarious position and it is critical that we find new ways to deliver the news they want to see.”
News Corp also said it was not going to be part of any news content decisions and was not part-owner of the Australian.