According to its IPO prospectus filed last month, the company hopes to increase the number of hours streamed by each user, and then monetize those hours through advertising. In addition, while it also sells connected TV sets, known as Roku TVs, through partners such as TCL and Sharp.
Consumers are already seeing what happens when one of the big three Roku rivals decides to protect its content: Google on Tuesday blocked Amazon's Echo Show, a smart speaker with an LCD touchscreen, from streaming YouTube.
Snap, Inc., the biggest tech company to have an initial public offering in 2017, has seen its shares slashed nearly in half in value as investors realized that Instagram could use its huge amount of resources, with Facebook being its parent, to simply copy the features on Snapchat. The company takes a cut of advertising revenue from apps on Roku devices and it's become an increasingly important part of Roku's financials. The company brought in $398.6 million in revenue past year, up 25% from $319.9 million in 2015. Services like Netflix, Hulu and Amazon Prime Video also have Roku channels that can be added to Roku-powered devices.
Roku has officially announced it will price itself at $14 per share as part of its upcoming initial public offering, which is expected to begin trading September 28 under the Nasdaq symbol ROKU.
Nod for immersion on Muharram if situation found fit: West Bengal government
It was decided in the meeting, headed by chief minister, Mamata Banerjee at the state secretariat of Nabanna here on Friday. The Calcutta High Court on Thursday had allowed immersion of Durga idols in West Bengal on all days including Muharram .
The offering will raise $126 million in funding for Roku, while giving existing shareholders of the company roughly $93 million. It generated revenue of $199.7 million in the first six months of 2017, up 23% from $162.3 million in the same six months of 2016.
By comparison, revenue generated on the platform, such as ads and subscription fees, grew 91% year-over-year to $82.4 million in the first half of 2017. Roku's offering, on the other hand, plays nice with whatever service you want to watch.
Roku stock is soaring for its Wall Street debut.