McClatchy Interactive, the digital media division of the country's second-biggest newspaper chain, plans to consolidate most of its West Coast operations in its Raleigh headquarters, a decision that could create 75 local jobs by the end of next year.

The division, which employs about 80 in Raleigh, ballooned after The McClatchy Co. bought Knight Ridder, the San Jose, Calif.-based newspaper chain, in June.

McClatchy, the Sacramento, Calif.-based parent of The News & Observer Publishing Co., acquired interactive media arm Knight Ridder Digital in the deal. Its name was changed to McClatchy Interactive West.

The San Jose division has about 140 employees.

McClatchy is trying to save money by putting most of those software development, computer programming and customer service employees under one roof, said Christian Hendricks, vice president of interactive media for The McClatchy Co., and president of McClatchy Interactive.

"The idea is to have one center that does most of the development and customer service and support on our products," Hendricks said. "It makes no sense to have two big, giant offices doing the same thing."

McClatchy might still keep a small office in San Jose, he said. Other satellite McClatchy Interactive offices around the country won't be affected.

The consolidation will make it easier for the company to merge strategies born on both coasts.

"They've got some tools that we like, and we've got some tools that they like," said Fraser Van Asch, executive vice president and general manager of McClatchy Interactive.

Before the acquisition, McClatchy Interactive focused on expanding the local Internet presence of McClatchy's newspapers and about 30 other clients. Knight Ridder brought a more expansive scope with its operation of Real Cities, a network of city and regional Web sites in 140 U.S. markets, and stakes in sites such as CareerBuilder.com, which provides online recruitment and career development services.

The consolidation could also help McClatchy save on rent and wages, which are among many companies' biggest expenses. Average office rents and median wages in the Raleigh area are about 20 percent less than those in the San Jose area, according to data from Karnes Research, CoStar Group and the U.S. Census Bureau.

Company executives have talked about consolidating the divisions since the deal was announced in March. As a result, many in California sought new jobs.

There were about 200 Knight Ridder Digital employees when the acquisition was announced, Hendricks said. The rolls have since dwindled by 30 percent.

McClatchy is offering to relocate many California employees whose responsibilities will move to Raleigh, but "it doesn't look like we're going to get a heck of a lot of folks to come from San Jose," Van Asch said. "They feel like they're living in paradise, and it's hard to get them to move this way. ... The first thing they think of is the humidity."

(News researcher Paulette Stiles contributed to this report.)