How AI and Platform Dynamics Are Rewiring the News Ecosystem
Insights from the Reuters Institute Digital News Report 2025
The Reuters Institute Digital News Report has become the annual bible that most publishers use when referencing global trends, the report is authored by The Reuters Institute for the study of journalism at Oxford University.
On the 2nd of July I attended a webinar hosted by INMA where Lucy Kueng, one of the authors of the report and Nic Newman, Senior Research Associate discussed the findings with Jodie Hopperman from INMA. The report offers a panoramic view of the global news ecosystem at a time of unprecedented technological acceleration and systemic fragmentation. Based on a survey of more than 94,000 people across 47 countries, the report charts shifting patterns in news consumption, audience trust, platform dynamics and monetisation. It is arguably the most comprehensive account to date of how artificial intelligence, social media, and changing user behaviour are converging to reshape journalism and the public sphere.
Beneath the surface-level innovation lies a deeper tension: while publishers are investing in new formats and tools, many of the structural challenges they face eroding trust, declining reach, precarious economics remain unresolved or are intensifying. The report does not offer easy solutions, but it does outline the contours of a new strategic reality: one in which content creation, distribution, and engagement are being redefined by generative AI, algorithmic discovery, and user fatigue.
Generative AI: Editorial Assistant or Existential Risk?
Perhaps the most disruptive force to emerge in the past 18 months has been generative AI. Large language models such as ChatGPT and Gemini have shifted from being technological curiosities to active players in the content economy. Many publishers have begun integrating AI tools into newsroom workflows to draft headlines, summarise stories, localise content, or generate supporting visuals.
Yet the report surfaces a deep ambivalence among audiences. A global majority 52% express discomfort with news content primarily created by AI, even when editorial oversight is promised. In the UK, scepticism is even more pronounced, with 63% of respondents wary of algorithmic journalism.
This discomfort speaks to a broader concern about authenticity and trust. While AI may increase efficiency, it simultaneously raises questions about transparency, accountability and the role of human judgement. The most successful publishers will be those that strike a careful balance: using AI to enhance scale and speed while reinforcing the brand’s editorial integrity.
Transparent labelling of AI-generated content, clear ethical policies, and human-in-the-loop workflows will be key differentiators.
Moreover, the growing use of AI-generated content by bad actors spreading misinformation, gaming search rankings, or impersonating legitimate outlets risks polluting the digital information environment. The report suggests that unless standards evolve in tandem with the technology, public trust in all news, AI-generated or not, may erode further.
Platform Dynamics: The New Gatekeepers of Attention
The long-standing dependency between publishers and platforms is evolving and not always to the benefit of the former. The 2025 report notes a significant decline in direct access to news websites and apps, particularly among younger users. The rise of platform-native content consumption, especially short-form video, has fundamentally changed how people encounter news.
TikTok is now a dominant force in news discovery for under-35s in countries such as Indonesia, Thailand, Mexico and Brazil. News influencers often operating without traditional editorial training are outperforming established journalists in reach and engagement. These creators are more attuned to platform algorithms, audience expectations, and visual storytelling techniques, and they are reshaping the boundaries of what counts as “news.”
In parallel, the withdrawal of news content from Meta platforms driven by regulatory pressure and commercial strategy has significantly reduced referral traffic to publishers. In countries where Facebook was once the primary news gateway, this has created a vacuum. Some publishers are turning to messaging apps like WhatsApp and Telegram, or building niche communities on Discord and Reddit, in an attempt to regain traction.
The implication is clear: the traditional concept of the homepage is obsolete. Instead, publishers must design content journeys that begin within platforms and lead back to owned environments newsletters, push notifications, mobile apps, or loyalty programmes. In this platform-centric era, distribution strategy is as critical as content quality.
Fragmented Audiences, Eroding Trust
Trust in news remains worryingly low. Just 40% of respondents globally say they trust most news most of the time. This figure dips even lower in polarised democracies such as the United States, France and Hungary, where media is frequently aligned with partisan narratives.
Equally concerning is the continued rise in “news avoidance.” A significant share of users particularly younger cohorts actively limit their news intake, citing emotional fatigue, information overload, or a sense of helplessness. Selective avoidance (e.g. politics or war coverage) is now matched by generalised disengagement. In the UK, 46% of respondents say they sometimes or often avoid the news.
Meanwhile, attention is fracturing. Short-form video formats, visual explainers, and conversational content (e.g. podcasts) are gaining traction at the expense of long-form articles. This is not simply a preference shift it reflects broader changes in cognition, attention span and media literacy. For traditional publishers, the challenge is to adapt format and tone without diluting substance.
The Economics of News: Stalled Subscriptions, Shrinking Margins
One of the most sobering findings in the report is the stagnation in digital news subscriptions. In most countries, fewer than one in five people pay for online news—and the majority subscribe to just one publication. Even in more mature markets such as Norway or the US, growth has plateaued.
The subscription ceiling is driven by multiple factors: economic pressures, subscription fatigue, and the widespread availability of free alternatives. Younger users, in particular, are less willing to pay, viewing news as a public good or a commodity. In response, some publishers are experimenting with freemium models, bundled subscriptions (combining news with puzzles, wellness or entertainment), and membership schemes offering exclusive experiences.
Advertising revenues also remain volatile. Privacy regulations and the phase-out of third-party cookies have disrupted programmatic advertising. Meanwhile, platforms like Google and Meta continue to capture the lion’s share of digital ad spend. The proliferation of AI-generated content much of it low quality has further saturated the market, making it harder for high-trust publishers to maintain competitive CPMs.
As margins tighten, operational efficiency becomes paramount. Some publishers are consolidating newsrooms, offshoring functions, or investing in automation. However, there is a risk that such cost-cutting undermines journalistic quality and public trust.
Strategic Priorities: From Content to Connection
The report concludes with a number of strategic recommendations for publishers navigating this uncertain terrain:
Double down on trust and transparency
AI-generated content must be clearly labelled. Editorial policies should be visible and enforced. Transparency is not just a compliance issue it is central to brand value.Develop platform-native talent and formats
Audiences are consuming news where they already spend time: TikTok, YouTube Shorts, Instagram Reels. Publishers need to invest in creator talent and visual storytelling not as a gimmick, but as core to their engagement strategy.Broaden the value proposition
News alone may no longer justify a subscription. Ancillary content health, food, finance, culture can strengthen value and diversify audiences.Build direct relationships
Reliance on platform algorithms is increasingly risky. Email newsletters, mobile apps, loyalty programmes and SMS updates offer more stable, ownable channels.Adopt AI responsibly
Automation can reduce costs and improve speed, but must be governed by clear editorial frameworks. Human oversight, ethical review, and continuous testing are essential.
A Turning Point for Journalism
The 2025 Reuters Institute Digital News Report does not predict collapse but it does warn of continued fragmentation, both in audience attention and business viability. For publishers, the message is neither to panic nor to retreat into nostalgia. Instead, it is to confront the complexity of the moment with clarity, curiosity, and discipline.
News organisations must redefine what they offer, how they deliver it, and to whom. In doing so, they will not only safeguard their future—but re-establish journalism’s role as a trusted, relevant and adaptive force in a rapidly changing world.