Roku enters streaming industry
Roku announced on Wednesday that its free streaming service, which is run through ads, will now be available for use on computers and mobile devices. Originally, the service – called The Roku Channel – was only available for those who had a Roku TV.
The channel is not targeted at avid TV-viewers. The Roku Channel does not contain an abundance of content, and the content it does provide is somewhat outdated. However, the channel will certainly help the company gain users. If Roku can offer more content in the future, the company could pose a challenge to smaller streaming services such as Hulu.
Roku has also added a “Featured Free” app on its devices, which delivers free content to all platforms. This stems from the company’s partners and includes news, PeopleTV, and other shows.
After the news, Roku’s stock jumped over 21 percent on Thursday. Investors are bullish, as adding this feature will surely bring more users to its services, generating more money from ads. Over the past twelve months, Roku’s stock price has skyrocketed over 143 percent.
As Roku gains more popularity with this streaming service, its stock will likely continue to rise. Although the company may not be able to compete with media giants like Netflix, it is certainly a new player for which competitors will have to watch out.
Featured Image via Wikimedia Commons