Feedom of Media in the West was better in the mid 1900s??

So I came across this interview of Noam Chomsky (http://en.wikipedia.org/wiki/Noam_Chomsky) and thought would post this part of it, it's pretty interesting, to say the least. It talks about history of media in the West and how today's internet age relates to it.

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http://www.chomsky.info/interviews/20070921.htm

CHOMSKY: Well, the history of media in the west is interesting. I mentioned that the period of the freest press in the US and England was the mid-19th century, and it was rather like what you were describing. There were hundreds of newspapers of all kinds, working class, ethnic, communities of all kinds, with direct active participation, real participation. People read in those days, working people. Like a blacksmith in Boston would pay a 16 year old kid to read to him while he was working. These factory girls coming from the farms had a high culture, they were reading contemporary literature. And part of their bitter condemnation of the industrial system was because it was taking their culture away from them. They did run extremely interesting newspapers and it was lively, exciting and a period of a really very free vibrant press, and it was overcome slowly, most true in England and the United States, which were then the freest countries in the world.

In England they tried censorship, it didn't work, there were too many ways around it. They tried repressive taxation, again it didn't work very well, similarly in the US. What did work finally was two things: concentration of capital and advertiser reliance. First the concentration of capital is obvious then you can do all kinds of things that smaller newspapers can't do. But advertiser reliance means really the newspapers are being run by the advertisers. If the source of income is advertising, the main source, well that's of course going to have an inordenent influence. And by now it's close to 100%. If you turn on television, CBS doesn't make any money from the fact that you turned on the television set, they make money from the advertisers. The advertisers are in effect, the corporation that owns it is selling audiences to advertisers, so of course the news product reflects overwhelming the interests of the corporation and the buyers and the market, which is advertisers. So yeah, and that over time, along with concentration of capital, has essentially eliminated or sharply reduced the diverse, lively and independent locally based media. And that's pretty serious.

In the United States, which has had no really organized socialist movement, nevertheless, as recently as the 1950s, there were about 800 labor newspapers which probably reached maybe 30 million people a week, which by our standards were pretty radical, condemning corporate power, condemning what they called the bought priesthood, mainly those who run the media - the priesthood that was bought by the corporate system offering a different picture to the world. In England, it lasted into the 1960s. In the 1960s the tabloids - which are now hideous if you look at them - they were labor-based newspapers in the 1960s, pretty leftist in their orientation. The major newspaper in England that had the largest circulation, more than any other, was The Daily Herald, which was a kind of social-democratic labor-based paper giving a very different picture of the world. It collapsed, not because of lack of reader interest, in fact it had probably the largest reader interest of any, but because it couldn't get advertisers and couldn't bring in capital.

So what you're describing today is part of the history of the west, which has been overcome slowly by the standard processes of concentration of capital and of course advertiser reliance is another form of it. But it's beginning to revive in the west as well through the Internet and through cheap publishing techniques. Computers, desktop publishing is now much cheaper than big publishing, and of course the internet. So the new technologies are giving opportunities to overcome the effects of capital concentration, which has a severe impact on the nature of media and the nature of schools and everything else. So, there's revival, and actually the major battle that's going on right now is crucial, as to who is going to control the Internet. The Internet was developed in places like this, MIT, that's the state sector of the economy, most of the new economy comes out of the state sector, it's not a free market economy.

The Internet is a case in point; it was developed in the state sector like here, actually with Pentagon funding, and it was in the state sector for about 30 years before it was handed over to private corporations in 1995 under Clinton. And right now there's a struggle going on as to whether it will be free or not. So there's a major effort being made by the major corporate centers to figure out some ways to control it, to prevent the wrong kinds of things from their point of view from being accessible, and there are now grassroots movements, significant ones struggling against it, so these are ongoing live battles. There is nothing inherent in capitalist democracy to the idea that the media have to be run by corporations. It would have shocked the founding fathers of the United States. They believed that the media had to be publicly run. If you go back to the...it’s hard to believe now…

http://www.chomsky.info/interviews/20070921.htm