"they got subsidized by some bigger publication. Some mainstream successful thing."

[Igel]

3. They weren't that popular.

Not sure that means "not self-sustaining." Lots of publications are small but self-sustaining.

And it's not like this report is really a report. It's hearsay in an interview and the interviewee is recalling something he read, without attribution or confirmation or even a claim of expert knowlege.

The guy may be remembering one of the recent reports like this-- http://www.mediaite.com/online/charlie-hebdo-may-receive-government-funding/

While the URL says "government funding" it also mentions private funding. No mention of it before the recent attack. Then again, the place was firebombed before, and possibly given funds to help rebuild.