If they are going to a subscription or patronage model, they will need to cut way more jobs and costs. That type of model can work but you have to run very lean, and you might end up replacing those ad banners with ones begging for money. Organizations like NPR and Wikipedia are some of the largest to use such a model, they have the benefit of goodwill and tax breaks due to their non-profit status, and their cost structure and business model looks very different from most valley startups. You can kiss that valuation goodbye.