Broadcasting, publishing and marketing group Cox Media Group is putting down some more roots in digital media investments: it has announced an investment of $6 million in Skyword, a content farm, to expand Skyword’s business.
Cox is the sole investor in the company.
It looks like the investment for Cox, which owns 15 TV and 85 radio affiliate stations in some 22 markets across the U.S., is a strategic one, as it looks to develop more interactive and rich content for its advertisers, particularly on digital platforms as advertising in more traditional media formats like those it operators continues to be face declines as newer forms of media take away the attention of viewers and advertisers. The company reported $1.8 billion in revenue last year.
An as-yet unnamed Cox executive will also join Skyword’s board of directors.
Skyword says it already produces thousands of pieces of content for a “search and social driven world,” which it generates and distributes through its own platform. Cox’s affiliates could potentially become alternative sources for distribution for those pieces of content.
Content farms like Skyword and its bigger competitor Demand Media (NYSE: DMD) have been accused of producing low-grade content for the lowest bidder — a charge they are trying to work off as they grow in prominence as businesses.