Jeff Agrest, writing for the Chicago Sun-Times:
Digital sports-media outlet CHGO let go of five front-facing staffers and some production personnel Wednesday in a round of layoffs across parent company ALLCITY Network’s five markets.
Greg Boysen, Vinnie Duber, Ryan Herrera, Herb Lawrence and Nicholas Moreano were the on-air talents affected, ALLCITY CEO Brandon Spano told the Sun-Times. The layoffs are part of a shift in resources as the company expands its revenue departments amid a push for wider distribution on free ad-supported TV channels.
“We created a new content plan for 2025,” Spano said. “We would like to cover sports in the exact same manner, but the reality is that certain sports command a different scale of audience and advertiser interest at the local level, and we’re moving our resources to better align with that.”
As Adam Curry of the No Agenda Show often says, “You can’t monetize the network.” It’s a simple truth that many digital media companies seem to ignore, to their own detriment. The digital advertising business model is fundamentally unsustainable. Even the likes of the New York Times can’t rely on ad revenue alone to survive online—it’s a losing game.
Why? Because the internet operates in a market with virtually unlimited inventory and infinite reach. This dynamic erodes the value of digital ads to the point where they hold little to no worth. When supply is infinite, scarcity—and the pricing power that comes with it—ceases to exist.
Adding a “plus” or “max” tier to charge consumers directly isn’t the answer either. Take CHGO as an example: they introduced their “Diehards” tier at $80 per year, only to alienate the majority of their loyal audience. It’s a cautionary tale of how premium models can backfire when poorly executed or misaligned with audience expectations.
So, what works? A digital-first approach requires operating on a shoestring budget. The traditional television or film production model—with its bloated staffing, costly on-air talent, and an army of “producers” whose roles often feel ambiguous—simply doesn’t translate to the digital landscape.
Successful digital media operations focus on lean efficiency, not the glossy, high-cost productions of traditional media. They build their content and audience relationships authentically and organically, without trying to emulate legacy models that don’t fit the medium.
The takeaway? Digital media companies need to adapt to the realities of the online economy or risk falling victim to unsustainable practices. Those who thrive will be the ones that prioritize agility, authenticity, and efficiency over outdated production paradigms.