2 reason to invest in Roku

In recent months, Roku has had the opportunity to profit from the increasing number of consumers abandoning cable TV packages in favor of entertainment offerings delivered via the Internet.

The Connected TV Market Is About to Explode

According to Roku, it already owns the best-selling smart TV operating system in the United States, where its 38% market share exceeds that of its two closest competitors combined. Additionally, Roku is launching its own line of smart TVs to capture an even larger share of the market.

However, the connected TV (CTV) advertising market currently represents only about a quarter of total US TV advertising spend. Ark Invest analysts expect this gap to narrow as companies shift their marketing investments from traditional TV services to streaming services.

This trend favors Roku, which is already contributing to its growth. Advertising dollars follow viewers, so marketers are shifting their spending to Roku’s ad network. The company’s platform revenue, which includes ad sales, increased 20% to $2.7 billion last year. Roku has gained market share, outperforming both the traditional TV advertising market and the overall US advertising market.

New Products and Partnerships for Roku’s Expansion

Roku already owns the best-selling smart TV operating system in the United States, where its 38% market share surpasses that of its two closest competitors combined. Additionally, Roku is launching its own line of smart TVs to capture an even larger share of the market.

Its plan is to offer a premium experience to consumers by integrating its world-class streaming software with innovative hardware features, such as voice-controlled remotes and premium audio systems. It’s a bold strategy that could help the company grow even more.