4. Business Model
• Make providers
happy
• Cheaper, more
convenient forTV
manufacturers
• Ads and in-app
purchases
“Our goal is to be a distribution platform for television directly
from the Internet”
-Roku CEO Anthony Wood
5. What Makes Roku Special?
• Only pure-play competitor
• More hours watched
6. What’s going on?
Finro and NPD Group :
• December 9th 2015
• “penetration rate” of streaming
players in US 16% in 2014,
projected to be 40% in 2017
• Roku behind Amazon, Google,
and Apple globally(presumably)
amigobulls.com/articles/roku-ipo-a-good-way-to-invest-in-the-online-video-streaming-market
7. What’s going on?
Park Associates:
• May 17th, 2016
• Streaming players in 27% of U.S.
Broadband households in 2014, 36%
in 2015
• Roku bigger than AppleTV and
Amazon combined in the US
• Article says 2014, graph says 2015
• Roku’s CMO likes it
Forbes -> Multichannel -> http://www.parksassociates.com/blog/article/pr-05172016
8. Finance
• <$1 Billion annual revenue, At least $209 Million in
funding
• Rumors of IPO since 2015
• "At this time we choose to invest in our platform
and its scale instead of profitability"
9. Competition
• Other Boxes
AppleTV, Amazon FireTV, Chromecast. Mostly inferior.
• Game Systems
PlayStation 4, XBOX One, WiiU. Not everyone wants them.
• SmartTVs
LG(WebOS), Samsung(Tizen), Panasonic(FirefoxOS),AndroidTV
10. Outlook
• Only 8% of SmartTV sales
• Loss leader vs neutrality
• White-label boxes for cable and satellite providers
