Tim Armstrong’s game to make AOL a content company continues today with his $315 million acquisition of the Huffington Post. Deal details are here, but the key points are: the new Huffington Post Media Group will include HuffPo as well as AOL’s content sites, and Arianna Huffington will be its editor-in-chief.

I’ve been reasonably patient and benefit-of-the-doubt-giving about the new AOL, but this strikes me as a terrible idea. First, there’s the gap between how the two companies see ‘content.’ For all the heat it takes on the grounds that it doesn’t pay its writers (and that heat is deserved), the HuffPo is very much a place that believes there’s value to a publisher in originalreporting. The front page may still read like the liberal answer to Drudge that its founders had in mind, but of late, the site has made major expansions into more serious coverage, and I increasingly run into HuffPo reporters who are doing gumshoe work. It is much more than an aggregator with great SEO managers, though it is that too.

AOL when Tim Armstrong first took it over promised to be that, hiring a number of high-profile journalists from collapsing newspapers to work on a number of smart blogs, and even recruiting stringers as foreign correspondents. But in the last few months, the strategy has shifted. This presentation of AOL’s new metrics for success is pessimistic and unimaginative, a vision of digital media seems stuck in the noisy, SEO-obsessed world of five years ago. It’s certainly not a vision that’s compatible with the kind of place that HuffPo has grown up to be, nor with some of the more interesting elements of AOL’s current content stable. No surprise, then, that those elements are the first to be thrown overboard.

Second, the new ‘AOL way’ is all about mass appeal, and, as everyone knows, the Huffington Post is partisan project. I am not sure what is harder to imagine: that all of AOL’s platforms could conform to Ariana Huffington’s worldview, or that the Huffington Post could suddenly shift center, in the way that Armstrong and Huffington promised when talking about the deal to AllThingsD’s Kara Swisher.

Actually, the whole Swisher interview is worth watching, because it highlights these two culture clashes–on politics and on reporting–that make me skeptical of the deal: listening to Ariana and then Armstrong, it seems as though they are talking about separate mergers. AOL. has been down the dangerous route of a merger with a very different culture before, and it had disastrous consequences. It’s a shame it seems to be making the same mistake twice.

Among the internet evangelists, these debates are usually taken as signs of professional media’s last breaths before the dictatorship of the proletariat (aka a citizen-driven “gift” economy) comes to save us. So of course, the internet evangelists yippee’ed at the announcement from the HuffPo that they are creating a fund to finance investigative reporting that will then be gifted to anyone who wants to run ads against it on their own site. They yippee’ed again at the new bill in Congress to make it easier for news outfits to claim nonprofit status.

Now all of these ventures, while helping to take down the existing structures of professional media, take their cues from the same value system that professional media folk claim–that journalism has a civic role to play, as a watchdog on those in power, as a forum for debate and a cultivator of public opinion, etc.

Yet the project of dismantling the mainstream media and claiming the legal rights of journalists on behalf of a citizen-activist runs directly counter to that value system. The civic function of journalism is enshrined in constitutional laws that, with the rise of computers, have lost their clarity: is a blog free Speech or free Press? There are ways to untangle that mystery, but most of them, as I’ve angsted before, seem to lead us into anarchist terrain. My angst seems justified in light of this essay in Slate–the author thumbs his nose at any democratic use for journalism and bemoans the journalism-as-civil-society theory as an old media meme.

The real battle, it seems, is not old media vs. new media but, as I continue to argue, institutionalism vs. individualism. If you think (as I do) that journalism has a civic value, then your solutions to the industry’s current struggles might turn towards to redefining journalism for the digital age in a way that separates those who report (ie journalists) from those who just make noise. If you think the journalism-as-public-service argument is maudlin junk, you might simply hail the demise of journalism as an organizational category.

While these two camps of new media thinkers duke it out, there’s room for old media organizations to experiment–I’ve blogged before that I think the NY Times is onto something in its merger with the Herald Tribune. That merger takes another small step today–the Times rebranded the IHT’s website as the “Global Edition of the New York Times” months ago; now they have rebranded the international pages of the Times’ own site with the IHT logo.

Obviously, a website redesign does little for the Times’ bigger problems, but the merger yields a reporting structure that any future model should take into account.