In a significant move in the media landscape, Fox Corporation has announced its acquisition of Roku for $22 billion. The deal, revealed on Monday, involves Fox purchasing Roku at $160 per share through a combination of cash and stock. This acquisition will integrate Roku's streaming platform with Fox's extensive content offerings, which include Fox Sports and Fox News.
Roku currently reaches over 100 million streaming households globally, with more than half of those located in the U.S. This merger is projected to position the combined entity as the third-largest player in television viewership in the country. Lachlan Murdoch, Fox's CEO, described the transaction as a transformative moment for the company, enhancing its growth potential in high-demand media sectors.
The acquisition aligns with ongoing trends of consolidation among media companies, as seen with the recent acquisition of Paramount by Skydance Media. As streaming services gain dominance, Nielsen reported that in March, streaming accounted for approximately 48% of TV viewing in the U.S., emphasizing the shift away from traditional broadcast formats.