1. Let the news die.
2. Pay for the news, suck up the fact that it has advertising.
3. Don't pay for the news and hope the rest of us pay for it so it doesn't die.
Your "option 4: news without advertising" does not exist. It may in the future, but only if ENOUGH OF US PAY FOR A SUBSCRIPTION SO THEY DON'T HAVE TO RELY ON ADVERTISING.
The news orgs that will survive are the ones that secure arm's length public funding such as NPR, CBC, BBC, et al.
If Fox or CNN goes bankrupt nothing of value will be lost.
The local newsroom that do the important work of disseminating disaster information, local election information are what's at stake.
40-some millions US residents still don't have reliable or fast Internet. Millions don't have any Internet at all. How do you expect to keep up with their own community and the world?