News aggregator Ongo to shut down

May 08, 2012
A copy of USA Today is displayed in a newspaper vending rack in 2009. Online news service Ongo, which launched last year as a paid "aggregator" for various newspapers, said Tuesday it would close down by the end of the month.

Online news service Ongo, which launched last year as a paid "aggregator" for various newspapers, said Tuesday it would close down by the end of the month.

"We're in the process of formally winding down the business," chief executive Dan Haarmann told AFP, noting that the company was unable to raise additional funds to continue operations.

"I'm sad to see it go. We've learned a ton and had a wonderful experience and wish the market timing was different."

Ongo, which was launched in January 2011 with backing from USA Today, The New York Times and The , had access to more than 100 publications by the end.

But Haarmann said the timing was not right, with free news still widely available and a small number of publications launching "paywalls," or subscriptions for online access.

Ongo was launched with a basic subscription cost of $6.99 a month which gave a user , The Washington Post, 20 articles a day from The , as well as stories from Britain's , the Associated Press, and Reuters. The price was later cut to $1.99.

Haarmann said he still believes there may be a market for a paid aggregator, which delivers news without advertising, and can make it easier to access news from various paid news organizations in one place -- but that the time is not right.

"What we're suffering from is there is still a lot of great, free content out there," he said.

That includes sites such as and Yahoo! which provide free news. Ongo also faced tough competition from news sites offering free or paid apps for tablets or smartphones.

"We built the business but we didn't gain traction early enough so the scale from a subscription point of view was not enough to support the business," Haarmann said.

He said he does not expect a bankruptcy filing.

"We're solvent, and will continue to work with our partners," he said. "I'm confident there won't be any and that we will wind down gracefully."

Explore further: New approach to online compatibility

Related Stories

Ongo seeking full NY Times, adding partners

Mar 23, 2011

Online news service Ongo is hoping to provide its subscribers with full access to The New York Times and expanding its lineup of contributors, Ongo chief executive Alex Kazim said Wednesday.

NY Post blocks website access for iPad users

Jun 20, 2011

The New York Post has blocked access to its website from the iPad's Safari Web browser in a bid to drive users of Apple's tablet computer to the newspaper's paid application.

Recommended for you

New approach to online compatibility

7 hours ago

Many of the online social networks match users with each other based on common keywords and assumed shared interests based on their activity. A new approach that could help users find new friends and contacts with a greater ...

Most internet anonymity software leaks users' details

21 hours ago

Virtual Private Networks (VPNs) are legal and increasingly popular for individuals wanting to circumvent censorship, avoid mass surveillance or access geographically limited services like Netflix and BBC ...

WikiLeaks says NSA spied on French business

23 hours ago

WikiLeaks has released documents that it says show that the U.S. National Security Agency eavesdropped on France's top finance officials and high-stakes French export bids over a decade in what the group called targeted economic ...

Google gets extended deadline to answer EU case

Jun 29, 2015

Brussels has given Google an extension until mid-August to answer an anti-trust case alleging that the tech giant abuses its search engine's market dominance, a company spokesman said Monday.

Facebook opens first Africa office

Jun 29, 2015

Facebook announced Monday it had opened its first African office in Johannesburg as part of its efforts "to help people and businesses connect" on the continent.

User comments : 0

Please sign in to add a comment. Registration is free, and takes less than a minute. Read more

Click here to reset your password.
Sign in to get notified via email when new comments are made.