CNET Reportedly Grapples To Find Buyers Following AI-Generated News Backlash

Photo 184811383 © NycRuss | Dreamstime.com

Artificial intelligence might be hyped up to be driving the future, but not everybody is sold on its prospects. Red Ventures, the parent company of popular technology news site CNET, is reportedly having a hard time finding suitable takers for the site.

CNET has tried to lead the charge in content creation by using AI to write articles. Alas, this move has been criticized and has shaken out into a scandal.

Acquired by Red Ventures in 2020 as part of a US$500 million buyout involving a family of sites from ViacomCBS, CNET has been a notable name in tech journalism. Despite reporting lower earnings, sources cited by Axios suggest that the publication remains profitable.

Through a potential CNET sale, Red Ventures—which owns several websites including Bankrate, Healthline, and The Points Guy—is reportedly aiming to get back at least half of the acquisition cost from the tech media outlet alone. However, the sale process is still in its early stages, with Red Ventures looking to boost earnings before officially putting CNET on the market.

Not seeing eye to AI

The company’s plans have purportedly been complicated by readers’ discovery that CNET had been publishing bot-written content, particularly in areas like financial services and product reviews. Investigations revealed that this practice had been in place since at least November 2022, as part of an effort to increase content output and efficiency.

The core gripe was the apparent lack of transparency in the use of AI for article composition. Neither readers nor some staff members were initially aware that AI was being used, raising serious concerns about journalistic integrity and the quality of the information being disseminated.

Under Red Ventures’ ownership, CNET’s discreet use of AI-generated articles, coupled with a push for more advertiser-friendly journalism and staff layoffs, led to a pushback. Last May, its workers unionized, citing the use of AI and a need for editorial independence.

The revelation of artificially-generated articles resulted in significant backlash from readers, publications, and media ethicists. Critics argued that the use of AI in journalism could mislead readers and erode trust in its brand.

CNET justified then that it was experimenting with new technologies to see if they could “help our busy staff of reporters and editors with their job to cover topics from a 360-degree perspective,” adding that these stories were “reviewed, fact-checked, and edited by an editor with topical expertise before we hit publish.”

Regardless, the AI scandal seems to still have impacted the company’s reputation and appears to be a significant factor in the ongoing sale process of the site. As Axios notes, potential buyers have brought up concerns about the outlet’s credibility following its “failure to disclose the use of” automation tools in some of its AI-assisted works.

Is that the full story?

Of course, other factors may come into play. The media industry now finds itself at a bit of a stalemate, trying to keep itself afloat amid the rapidly changing digital landscape.

Recently, Instagram cofounders announced the closure of Artifact, a news app they launched just a year ago, citing limiting opportunities in the news aggregator sector.

[via Futurism and Axios, cover photo 184811383 © NycRuss | Dreamstime.com]