By now you know about WikiNews. Bear in mind that ohmynews did a similar thing quite a while back. You know the score by now - distributed economies.
Will it work? Yup. Will it destroy the news industry? Nope - we've already argued papers are going to become (winner-take-all) journalism markets. WikiNews will be like a journalism bazaar (to grab an overused metaphor) - teeming with activity, but with little qc.