Financial Times writes off 90pc of investment in European tech coverage

Core Insights - The Financial Times has significantly reduced its investment in Sifted, a news site for tech entrepreneurs, due to a downturn in tech funding in Europe [1][2] - Sifted's value was cut by £550,000 shortly after the FT increased its stake, resulting in nearly 90% of the investment being wiped out [2] - The overall investment environment for European start-ups has deteriorated, with funding dropping from over $100 billion during the pandemic to around $45 billion in 2024 [6] Company Performance - The FT's revenues increased by 2.5% in 2024 to £454.6 million, while pre-tax profit slightly declined to £3.89 million [7] - The number of print and digital subscribers rose by 6% to 1.5 million, with digital-only subscriptions also increasing by 6% to 1.35 million [7] Sifted's Operations - Sifted transitioned from a free news service to a subscription model with a paywall in 2021 and reported a 32% year-on-year increase in its "pro" subscribers [3][4] - The headcount at Sifted decreased from 56 in 2023 to 47 in 2024, reflecting operational adjustments amid financial challenges [4] Industry Trends - Digital publishers are facing challenges due to changes in web traffic driven by AI, prompting a shift towards subscription-based models [5] - Other media organizations are also reducing their coverage of European technology businesses, indicating a broader trend in the industry [5]