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That's not knocking blogger or twitterers. In fact, that's how I came to this post.
The argument you pose above is legitimate because it exists. But the reality is that both types of reporting have their place and are worthy of respect.
There have been to many times that Twitter + other services that allow people to post any news they want and it turned out to be untrue. Sorry, CNN messed up, yes, But i'll be damned if I trust that random tweeter over a CNN report.
Before CNN, I don't remember ever expecting a news show to bring me up to the minute news constantly.
What I did expect was people who recognized something newsworthy, and were willing to go whatever lengths to share it whether it was researching an article and putting the pieces together that no one else had connected yet or going behind the scenes to show us the true face of humanity in it's most beautiful and most horrifying moments.
Lately, it feels like traditional news has gotten so caught up in trying to bring news "as it happens" that they've forgotten what their strengths really are.
Am I happy that CNN failed? Only if they use the failure to make some changes, and not to decide they now have to compete with twitter users to see who can announce news first.