When you view it through the lens of "journalism dies without money, and local journalism survives on ads", I can see some nobility in it.
The guardian has a supporter tier. Some local news stations where I live have memberships with minor benefits.
Yes, it did.
I have subscribed (and might still be subscribed) to several news magazines and papers, though not my local. It's kind a circular drain of "lower pay > lower quality > fewer subscribers > lower pay".