Threatened provincial newspapers are being defended as "vital" by community leaders, who say they are essential for democracy.
Photo: RNZ / Rebekah Parsons-King
Yesterday the Commerce Commission rejected a merger proposal from Fairfax and NZME, the country's two producers of news.
Both companies had warned jobs would be lost, particularly in the regions, if the merger was blocked.
Whangarei district mayor Sheryl Mai said having a local paper was important for democracy, and the Northern Advocate helped to hold council to account.
"It does give you that sense that the things that are debated and thought about and discussed in the chamber will be reported, obviously with a lens that's slightly different to the way we think - and that's a rally valuable connection with the community."
It would not be good if people relied solely on social media for their news, she said.
New Plymouth mayor Neil Holdom is a former journalist and sub-editor.
Local Fairfax-owned newspaper Taranaki Daily News is a strong publication with advertising support and a bright future, he said.
"We'd be concerned, as a community, if Fairfax were to downsize that team ... but there'll be other performers that are nowhere near as strong as our local team."
Small independent publications were popping up, and others would step in if Fairfax did lose interest in the region, Mr Holdom said.
"I suspect there'll be investors out there that are prepared to get in there, and ultimately when these organisations are locally owned and run, they're ultimately more efficient."
Allied Press, which publishes the Otago Daily Times and 14 smaller papers, said turning down the merger was the right decision.
Chair Sir Julian Smith said NZME had not been a major competitor in the south, but could have become one, driving its smaller competitors out of business one-by-one.
Sir Julian said the merger partners still got most of their income from newspapers, but had been neglecting them.
"If they get their attention back on the newspaper business then we'd all benefit from it."
The newspaper industry needed to collaborate more, for the good of the whole, he said.