Roku is the best media company in the world - Watch out!
Here is why Roku is the best media company in the world.
There are rumors that Comcast is thinking of buying Roku. First of all, good idea for Comcast...A better idea is Roku buying Comcast's library of media and selling the legacy cable and internet business to Cox Cable. Roku isn't going to sell; Comcast will need to develop its own box and make its own deals with TV companies. Maybe it is using this as a way to get a better price on ViacomCBS. It would make no sense for Roku to sell to Comcast. All Comcast would do is slow Roku down and make everyone watch reruns of "The Office."
Roku is following the Netflix playbook, and the Netflix playbook says that you need to stay neutral so that you can get a little bit from everyone.
Roku's stock price is pretty high, but not if you think even a few years down the line. Roku doesn't make money from selling little boxes. Roku makes money being the family gateway to streaming TV. Roku know what channels you have and what you watch. They know if you have kids or not, and they know how old they probably are. My boys watch a lot of dinosaurs, talking cars, and talking dogs. Roku knows that. Roku gets a small piece of every movie you rent or buy through its platform. They get a piece of every ad you see and every subscription you sign up for. They make money off everything and they have the most comprehensive user data and the most hours watched of any company.
Roku is the most valuable entertainment company in the world, people just don't know it yet...soon there will be Roku's everywhere. Its interface is the best and the price is reasonable. The next best is Apple, but they don't have nearly as many options for channels. For all of these reasons, Roku is the clear winner in the streaming media wars.