Here's What It Really Means If Netflix Tries to Buy Roku
Streaming video service Netflix (NASDAQ: NFLX) might be trying to acquire connected-TV (CTV) platform Roku (NASDAQ: ROKU), according to rumors that have surfaced in recent weeks.
For now, it's just a rumor, but Netflix has good reason to make a deal like this happen. Video content is becoming commoditized, and Netflix's recent moves suggest it recognizes the need to pivot quickly.
Something monumental recently happened in the CTV space. According to Roku's first-quarter letter to shareholders, 65% of adults aged 18 to 49 in the U.S. were streaming video content in March, compared to just 63% in that age group watching traditional pay TV like cable and DVRs. For the first time, there were more streamers than nonstreamers.
Source Fool.com
