Associated Press to focus more on mobile content

The press service said Monday that it would be soon offering its stories and videos to mobile users, including a site designed for Apple's iPhone.

Users will input a ZIP code, much the same way as for a weather service now. The press site will return local as well as national headlines. The service will be free and ad-supported, with local papers also able to place their ads on the site as well.

The deal marks a breakthrough of sorts, since local news presses that subscribe to AP did not want to be circumvented by a nationwide news source. This deal gives the AP's partners throughout the nation a piece of the action.

A third-party will host the site and serve the ads, and revenue will be split 50/50 between the news providers and ad sellers, according to an Associated Press article.

Several newspaper conglomerates participated in planning out the program and how it works, including Advance Publications, Hearst, Lee Enterprises, McClatchy, MediaNews Group, and Rust Communications.

"The Mobile News Network will provide a national platform for smart phone users to access local content from brands they trust," AP president and CEO Tom Curley said at the wire service's annual meeting.

The AP's digital offerings were announced alongside a broader reduction in fees charged to newspaper outlets for its services, which would amount to about $21 million in savings for those companies.