81% of nonprofit newsrooms now use AI tools, but growth in new outlets has stalled
Eighty-one percent of nonprofit news organizations used AI-based tools in 2025, according to the Institute for Nonprofit News' ninth annual Index released Tuesday. That's up from 63% in 2024 and 34% in 2023.
The Index surveyed 412 INN members-93% of the organization's membership-and offers one of the most detailed views of nonprofit newsroom finances and audience trends. The report also found that while the sector's combined revenue hit a record $750 million, individual newsrooms are struggling with shrinking margins and stalled growth.
How newsrooms are actually using AI
Most nonprofit outlets aren't using AI to write or edit stories. Instead, they're deploying it for practical tasks: 60% use AI to summarize or transcribe meetings, and 36% use it for data analysis.
A significant share has adopted AI for fundraising work. Twenty-two percent use it to personalize donor emails, 18% to draft grant applications, and 11% to identify potential funders. Twenty-six percent use AI for audience outreach, including drafting social media copy and personalizing emails to readers.
Thirteen percent of outlets scrape data from websites using AI, while 19% block scraping of their own sites.
Revenue is up, but individual outlets are squeezed
Combined revenue across INN members reached $750 million in 2025, a 14% jump from 2024. But median revenue per outlet dropped to $525,000 from $532,000, while median expenses rose to $449,000 from $434,000.
Only nine new INN member outlets launched in 2025, compared to 20 per year in 2019 and 2020. The Index attributes the slowdown to funding cuts and political uncertainty.
Local newsrooms now account for 54% of INN membership, up from 51% in 2024. All nine new outlets that joined in 2025 cover local beats.
Traffic patterns reveal a squeeze in the middle
Small outlets under $2 million in revenue gained an average of 9,500 unique monthly visitors. Large outlets over $5 million gained 40,800. Mid-sized outlets between $2 million and $5 million lost over 41,000 visitors on average.
The Index suggests mid-sized outlets are caught between smaller outlets' reader loyalty and larger outlets' brand dominance. Declining social media referrals and AI integration into search results are driving the pattern.
Fifty-seven percent of outlets that reported traffic data saw increases of 10% or more, while 24% declined by 10% or more.
Newsletters prove more stable than web traffic
Newsletter subscribers showed more resilience than web traffic. Only 16% of outlets reported subscriber declines, while the rest held steady or grew.
Small outlets gained an average of 730 newsletter subscribers, mid-sized outlets gained 1,500, and large outlets lost 2,800. This reverses the web traffic pattern and suggests smaller outlets are building direct reader relationships.
Diversifying revenue, slowly
Forty-nine percent of INN members now draw from four or more revenue streams, up from 38% in 2022. Outlets with diversified revenue tend to be local, cover general news, and are less likely to focus on communities of color.
Outlets relying on a single revenue stream are more likely to be national in scope and emphasize explanatory content. More than half of single-stream outlets say serving communities of color is their primary focus.
Individual giving has grown from 29% of nonprofit newsroom revenue in 2023 to 33% in 2025. Major donors account for 64% of individual giving, with average gifts of $32,000-roughly 20 times mid-level donations and 300 times small donations.
Newsrooms are spending more on revenue generation overall: 16% of operating expenses in 2025, up from 10% in 2019.
Political climate takes a toll
Seventy-six percent of nonprofit publishers said their organizations experienced negative effects from the current political climate. Reductions in charitable giving and increased misinformation targeting their markets were the most common impacts.
National and global outlets reported negative effects more frequently than local outlets. All 22 public media respondents reported negative impacts, including government funding reductions, though many saw record individual fundraising results.
Volunteers remain essential, especially locally
Forty percent of nonprofit newsrooms rely on volunteers, up from 36% in 2023. More than half of volunteers help with editorial work.
Local outlets are twice as likely as others to depend on volunteers: 53% of local outlets report volunteer support, compared to 25% for other outlets.
For writers working in nonprofit news, understanding these trends matters. The widespread adoption of AI for Writers and Generative AI and LLM tools reflects how the sector is changing. The financial pressure on mid-sized outlets and the shift toward local coverage will likely shape editorial priorities and staffing decisions in the year ahead.
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