Roku Doubles Down on Advertising Tech
Roku (NASDAQ: ROKU) essentially invented the business space that it finds itself in now. Roku created the first "Netflix player," a little box that could plug into a regular old "dumb" TV and make it "smart." The device was a hit, and the company was soon making money by selling devices that ran its eponymous platform.
But other companies soon created streaming platforms of their own -- including Amazon (NASDAQ: AMZN) and Alphabet, each of which had plenty of ways to monetize its platform and each of which could afford to sell its hardware on the cheap -- or even at a loss. Roku needed a more reliable source of income than hardware sales, and the company found that source in advertising. Last week, Roku doubled down on its advertising ambitions with a major acquisition.
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Source Fool.com
