Wiley 'prepared' for new US OA rules, says Napack

Wiley president and c.e.o. Brian Napack has said the company was "surprised" by the timing of new US guidance which will make all federally funded research Open Access from 2026, but that it is "not at all unprepared" for the development.

The comments came as Wiley recorded first quarter revenues of $488m (£425m) for the three months to 31st July 2022, flat with the same period of the previous year and up 4% on constant currency. Adjusted EBITDA (earnings) with interest, taxes, depreciation and amortisation) stood at $64m (£56m), representing a 34% drop year on year, which Wiley said was due to investments in research, higher employee costs, increased spending because of the move back to in-person events post-pandemic and market changes in University Services. 

Academic & Professional Learning declined 5% (1% at constant currency), Education Publishing saw print course materials decline offset by growth in digital content and courseware, while Professional Learning saw growth in corporate training offsetting a decline in professional publishing.

Napack said: "Q1 unfolded largely as expected, and we are confident in the full-year outlook based on our strong, continued momentum in Research Publishing, Research Solutions, and Corporate Talent Development and the execution of our cost savings programme. Our core growth strategies in open research and career-connected education are working, and they are supported by favourable long-term market trends, consistent cash generation and our sharp focus on operational excellence.”

The Wiley chief also took the opportunity to comment on recent guidance coming from the US Office of Science & Technology Policy, which called for all federally funded research to be open and freely available from 2026.

"If fully enacted, the implication would be that all US federally funded research published by Wiley and others from that date forward would need to reside outside of a subscription paywall," he noted. While Wiley was "surprised by the timing of this statement", Napack said, it was not unprepared. 

"Simply stated, this new guidance is fully aligned with our stated strategy and mission, and is supported by the strong momentum we have in open research publishing. We have been working for years with the OSTP and other stakeholders around the world to support the transition to open research...We saw similar guidance in Europe a while back and reacted affirmatively. And today, we are greatly benefitting by executing against our shared objective of unlocking access to scientific research and improving the efficiency of peer review and publication. Wiley has led this global transition to OA through our robust OA publishing programme and our ground-breaking transformational agreements."

Less than 10% of Wiley’s articles are funded by US federal departments impacted by the new policy, with a third of those already published OA, he added.