Roku Suddenly Has a Massive Content Budget

Roku (NASDAQ: ROKU) launched The Roku Channel in 2017 as a way to get more free ad-supported content in front of its users. It was primarily seen as a way for Roku to highlight content from media partners with whom it shared ad revenue.

Less than four years later, The Roku Channel is a different beast entirely. The company uses the service as a way of juicing its distribution agreements with premium streaming services by including content licenses as part of the agreements. With the acquisition of Quibi's content library, Roku's making a push into developing its own original content. And it has a growing budget to support it.

Image source: Roku.

Source Fool.com