Does the news matter to anyone anymore?

David Simon, executive producer of The Wire and a former reporter for the Baltimore Sun, asks, "What the hell happened?"

I understand the economic pressures on newspapers. At this point, along with the rest of the wood-pulp Luddites, I've grasped that what was on the Internet wasn't merely advertising for journalism, but the journalism itself. And though I fled the profession a decade ago for the fleshpots of television, I've heard tell of the horrors of department-store consolidation and the decline in advertising, of Craigslist and Google and Yahoo. I understand the vagaries of Wall Street, the fealty to the media-chain stockholders, the primacy of the price-per-share.

What I don't understand is this:

Isn't the news itself still valuable to anyone? In any format, through any medium -- isn't an understanding of the events of the day still a salable commodity? Or were we kidding ourselves? Was a newspaper a viable entity only so long as it had classifieds, comics and the latest sports scores?