The newspaper industry has certainly benefitted from technological innovations but at the same time received new competition, challenging their position in the media landscape, forcing them to explore new innovative ideas to find new profitable revenue streams. Based on 77 interviews with newspaper managers from Europe, US and Japan over a period of seven years (2007-2013), this paper addresses the research question: How are newspaper organizations managing digital innovation? This paper takes a theoretical perspective from literature on digital innovation, and use concepts of open and closed innovation to propose a model of management modes in digital innovation. The practical implications of this study will contribute to the ongoing debate within the challenged newspaper industry.