In some respects the rise of the internet has been quite poisonous - and its effects will become even more evident as the years go by. It's just that at present most people see only the benefits.
I really do NOT want to sound like one of those think-positive business gurus, but being negative about the net really will spell doom for magazine activity. For good and ill, the internet is the biggest revolution in text delivery since printing with movable type, and it's not going away. Magazine-type operations that want to survive are just going to have to take account of it, and the biggest problem, of course, is getting paid.
As an outsider, but with an interest in publishing, I can see some opportunities. You could probably keep a magazinoid going for a long time on filling in the gaps/errors in Wikipedia. E.g., the Rolls Royce Dart is one of the great aero engines, but the W. article, the last time I looked, is pathetic.
Perhaps also publishing freedoms: how much is it an advantage, how much a cost, to be stuck to a monthly publication date? Is that necessary with on-line publication? Magazines are normally thought of as ephemera--to keep back copies is a special act. But the internet makes us think again about ephemerality, and selling the back catalogue. Paywalls are doubtful, but subscriptions through iTunes, Amazon and so on might work, would allow people to read on their devices (on public transport, for instance) which is probably what they want to do, and might fit in best with existing magazine practice.
I really lament the decline of all those good magazines (in various areas) I remember from my youth, and which have been done in by a combination of profit-maximization and the net; they'll never come back in paper, in the same way, but I'd really like to see a way of keeping what was good about them going. And what they really had that was better than now was largely due to editing.
Good luck.