Roku Acquires Frndly TV for $185 Million

Roku has announced an agreement to acquire Frndly TV, a budget-friendly streaming service known for its live TV channels and family-oriented content, for $185 million, with $75 million contingent on performance milestones. The move is aimed at expanding Roku's platform revenue and enhancing its live content offerings, leveraging Frndly TV's expertise in direct-to-consumer subscriptions. Frndly TV will continue to operate independently and remain available on devices beyond Roku, while its leadership team will stay in place post-acquisition. The acquisition comes as Roku faces increased competition in the streaming space, particularly following Walmart's purchase of Vizio, which has intensified the race for advertising dollars and access to shopper data. Despite competition from larger services, Roku remains the largest streaming platform in the U.S., sustaining robust growth in platform revenue and user engagement. The deal is expected to close in the second quarter, pending customary closing conditions.