Diller: Newsweek is going to change

A co-owner of the iconic weekly US magazine Newsweek said that it would transition further toward an all-digital production by 2013. "The brand is good. So what is the problem? The problem is in manufacturing and producing a weekly news magazine, and that has to be solved," said Barry Diller, owner of InterActiveCorp. "The transition to online from hard print will take place," Diller said, although he added, "I'm not saying it will happen totally." Forbes Magazine reported Tuesday that an analyst close to the company said Newsweek's annual losses were about $20 million. Together with the Daily Beast, the annual loss could be about $35 million, the source said. Newsweek merged with the Daily Beast after the ailing weekly magazine was bought by billionaire Sidney Harman in 2010. But Harman died in April 2012. Last week, Harman's family announced they would no longer contribute capital to the company. Diller said a decision on Newsweek would be made by October. "The plan is going to be different next year than it is this year. I can't tell you in what ways, but it's going to be different," he said.