Newsonomics has a piece on its blog comparing Patch.com news report with one in the Contra Costa Times. Contra Costa has better reporting. But Patch had more interaction with its readers. It also had better SEO and was listed higher in Google.
The start-ups will have to improve their reporting, because bad reporting is wallpaper. Boring wallpaper. But the news organizations are going to have to figure out this thing called SEO. Or they will die.
Ran across this posting: poor SEO may be what killed thelondonpaper.com (but as the comments to the posting say, that might be pushing it, as a thing to say. Ironically, the writer was going for some good SEO, and thereby misstated things).