Actually thinking about it, the issue is wider than just the news and I think the financing mode of the mandatory tax is a big part of it. What is really a shame, as Germany has a rich culture of hundreds of years so great content in all forms should not be a problem.
"Why is TV in Germany so bad?" https://www.reddit.com/r/germany/comments/3d4vxz/why_is_tv_i...
"Why is German TV so crap?" https://www.exberliner.com/blogs/the-berlinale-blog/berlinal...
You might comment the BBC financing model is similar and I would agree. I think the difference is that the BBC also embraced a highly commercial model of selling content like Top Gear and other stuff worldwide. In this case the English language content with its planetary audience, pushed for a more competitive/commercial model and the German TV stayed too insular in my view.