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So here’s the bad news…

By Danny Sullivan

Over on TechCrunch yesterday, Michael Arrington hit back at those who have condemned his site and others for their policy of reporting on tech companies that are failing in the downturn.

Arrington states: “Reporting on layoffs or a dead company isn’t tabloid journalism. We do not take pleasure in seeing companies fail. But it’s inevitable that most will. And not only is it news, but readers have a right to know about it.”

And, while no self-respecting PR person wishes to see the details of their company’s demise being covered in the news, I have to support Arrington’s position on this.

Every day, I awake to the early business news on BBC radio and, for the past couple of months, every story has been filled with doom and gloom: companies and banks going to wall, layoffs, falling house prices, and so on. And yet I don’t expect the Beeb to ignore the facts of the downturn and to focus only on positive stories, so why should we expect anything different from a blog like TechCrunch?

As consumers of news, we expect the media (and bloggers) to bring us the important facts about the world we live in, and it just so happens that the business world is going through some major turmoil right now. No one likes the current situation, but facing up to reality is the only way companies will come through this successfully. News covers both the good and the bad, and we should not condemn the media for reporting on the uglier facts, just because we don’t feel like hearing them.

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