“In a bid to foster a new generation of book buyers, Random House is investing in a private company that promotes literacy using a system that encourages children to read on their own and with their parents,” reports a Reuters wire story. The world’s biggest publisher announced it had “become a significant minority shareholder in Philadelphia-based American Reading Co..” ARC is a “reading firm” started by “former teacher” Jane Hilemna, and known for its 100 Book Challenge, a program that “requires students to read for at least 30 minutes each day at school and another 30 at home, and has been credited with boosting standardized test scores in various U.S. school districts.” Richard Sarnoff, the president of Random House Ventures, says ARC is “pioneering a new distribution channel for trade books as enjoyable essentials in the lives of elementary and high school students across the country, many of whom now will go on to become frequent book customers.” However, in a more in-depth report at The Book Standard, Rachel Deahl says Sarnoff stressed the deal is “not a vehicle for Random House titles in any form,” and Deahl says “Under the current agreement, ARC will continue to be autonomous, with operations and book selection remaining in-house.” Deahl also notes Random’s deal with ARC “comes on the heels of a licensing partnership and investment deal Random House struck with a telecommunications company called VOCEL, which delivers content to wireless customers,” all of which “seems to point to a concerted effort on the publisher’s part to tap the youth market, for which cell phones are an extremely valuable commodity.” Asked about the apparent connection, Sarnoff tells Deahl that “the generational issue is an important one for both Random House and the industry, and we think it’s important to engage the future generation of readers.'”