A Tech-Driven Revival for Local News?

By now, threats to local news journalism have been well documented despite local news maintaining a high level of consumer trust. In the U.S., over three thousand print newspapers have disappeared since 2005 and “continue to disappear at a rate of more than two per week,” according to The State of Local News 2024 report.

As we reported in 2024, the rise of online platforms shoulders a lot of the blame, as an increasing number of consumers prefer to get their news through websites and social media accounts. This digital disruption has only increased with the widespread adoption of generative AI.

Facing declining revenue, fragmented audiences, and rising costs, it’s no surprise that so many local publications have gone under. So what, if anything, can local news publishers do to stave off their existential threat? Let’s explore.

Why local journalism matters — and what readers want

The consequences of declining local journalism are dire and mounting. The State of Local News 2024 Report found that 206 U.S. counties are in a “news desert,” translating to roughly 55 million people without access to the critical information often conveyed in local news sources.

The rise of news deserts is grave, but perhaps not as far-reaching as data from the U.S. suggests. As Reuters' 2025 report notes, when evaluating the state of local news, it’s important to remember local media occupies “a position of unusual size and strength” in America. “In some regions, such as parts of Asia, local news media have never enjoyed this status, and in others, such as in the Nordic countries, some local publishers like Amedia have weathered the storm of digital transition, and now operate successful businesses based in part on digital reader revenue.”

To better understand the information needs of global audiences, Reuters conducted a survey of 45 markets about local news behavior. They found 49% of people used local publications to find local news stories, 38% to learn about local activities, 37% for information services like public transportation schedules, and 32% for coverage of local politics, “despite this often being held up as the most important function of local news media.”

Reuters’ survey also revealed differences in news sources varied by country. “For example, local TV (in the USA) and local newspapers (in Germany and the UK) are still seen as the best source of information about local politics among those that consume it. However, if we look instead at local activities and culture, we see that consumers in the US and the UK now see social media as the best source – though local newspapers are still preferred in Germany.”

The takeaway here is that, however variable these preferences may be, there is still an appetite — and in some countries, a real need — for trusted local journalism. Success for publishers now rests on the ability to understand their market, create content that meets the market’s needs, and distribute that content in the way the market wants.

How Lookout survived the local news crisis

One of the clearest examples of local news meeting a market need can be found in Santa Cruz, California. Founded by columnist and news industry analyst Ken Doctor, Lookout is a digital-only news publication designed to be “the biggest news source in town,” according to Nieman.

Lookout’s approach centers around comprehensive, hyper-focused journalism quickly delivered through a digital-only medium. Zeroing in on community-specific concerns like housing and environmental issues — coverage that is critical for residents but absent from national outlets — Lookout soon became the go-to source for local Santa Cruz news, and, not long after, earned the Pulitzer Prize in Breaking News Reporting for “its detailed and nimble community-focused coverage.”

On the business side of things, Lookout has also managed to find a sweet spot, supplementing a modest subscription fee with philanthropic support and community partnerships. It invests heavily in engagement, treating readers not as passive consumers but as participants through tactics like events, newsletters, and membership benefits.

Of course, the most exciting angle of Lookout’s story is the potential to replicate its success. Lookout is testing these waters by adding a news website in Eugene-Springfield, and has plans to launch Lookouts in three more cities by 2027. As Nieman concludes, “There are so many American cities whose once-respectable daily newspapers have been hollowed out by plundering chains. If Lookout succeeds, it’ll have created a model that can help fill those voids at scale.”

AI in the newsroom

The Lookout model is encouraging, but born of the needs of a specific American audience, it is not a turnkey solution. For publications serving markets with less community engagement or disposable income, technology — specifically AI — can help tip the balance.

Properly applied, AI can reduce costs, extend reach, and enable smaller teams to deliver the kinds of coverage that once required larger staffs. Here are some examples of how publications are already using AI to improve efficiency, support journalists, and connect with audiences:

• Newsroom automation: Savvy journalists have already started using AI tools to perform and refine a number of time-consuming or menial tasks like summarizing reports, transcribing meetings, and even collecting, monitoring, and flagging important data. According to Shieldbase, “AI can monitor traffic updates, weather anomalies, or crime reports, flagging events that warrant journalistic attention. This capability allows newsrooms to stay ahead of breaking stories while optimizing limited resources.”
• Content augmentation: AI can support journalists by performing several auxiliary roles. “Journalists can use AI to conduct faster research, fact-check information, and access relevant historical context,” says Shieldbase. “Additionally, AI tools can suggest compelling headlines, keywords, and multimedia elements, enhancing the overall quality and appeal of stories.”
• Content creation: AI can also play a role in supporting content creation. The Hampshire Chronicle employs an AI-assisted reporter, who “uses company-created AI, which is secure and filled with all our prompts and styles, to help her process a large volume of stories. She checks and verifies to ensure that what AI produces is correct and in the style that our readers expect. To be clear, AI is not generating these stories, we are giving it something to work on. It's more helping in the editing and production.”
• Personalization: Shieldbase reports that, “By analyzing user preferences and behaviors, AI can generate multiple versions of a story, each customized for different demographics or regions.” This hyper-personalized approach increases engagement, improves retention, and increases the likelihood of converting casual visitors into paying members.

In conversation with Poynter, University of Maryland journalism professor Tom Rosenstiel sums up the case for AI in the newsroom as such: “...this is an oversimplification, but if you’re using AI to try and figure out how to make your journalism better, that’s good. If you are using AI to try and figure out how to make your journalism cheaper, that’s bad. Because cheaper is going to be worse, and it’s going to hurt all of journalism.”

A local news revival on the horizon?

Though local news remains under threat, innovative publications are facing this period of digital disruption head-on and blazing new trails into the future. The challenge now is scale. Can the Lookout model succeed in other communities? Will emerging AI tools give publishers the time and space to imagine new ways of delivering the news? If so, local news won’t just survive, it’s poised to thrive, opening the door for a revival that is more resilient, accessible, and customized to the needs of the communities it serves.

GenAI can make local news sustainable

The Hampshire Chronicle case described above shows how properly applied AI can make local news operations more sustainable. By taking care of routine, time-consuming tasks, AI tools free authors and editors to concentrate on creating engaging content. The latest AI assistants can 'package' a story in a few seconds to create headlines, summaries, subheadings, SEO elements and social posts.

The arrival of Eidosmedia's ProActions framework now allows users to create their own AI tools from multiple models, optimizing their integration into the workspace and maximizing productivity. One recent development generates the entire suite of story elements detailed above with a single click, significantly cutting time-to-market for breaking news stories.

 Find out more about the ProActions AI framework.

For print publishers, the layout of print pages is still a major cost item. Eidosmedia customers in Germany are now using an integrated AI engine to cut the layout for a print edition from several hours to a few minutes.

 Find out more about AI print pagination .