Vice Media, Vox Media and BuzzFeed Inc. will continue to struggle for the foreseeable future.
That’s according to New York-based EquityZen. In a report published Wednesday, the fintech firm cited the so-called Google and Facebook “Duopoly” as reasons for the digital media downturn.
Google, owned by Alphabet Inc. (NASDAQ: GOOG), and Facebook (NASDAQ: FB) are responsible for roughly 70 percent of all digital advertising in the U.S.
This comes at the expense of newsrooms. Vice, Vox and BuzzFeed — all based in New York — have cumulatively raised more than $2 billion in venture capital since they first launched. Since then, these digital media players “have stagnated if not struggled throughout the last few years,” says Adam Augusiak-Boro, a senior associate at EquityZen who authored the report.