Fox Acquires Roku: Why Amazon Didn’t

Fox announced a $22 billion cash‑and‑stock deal to acquire Roku, the operator of one of the world’s largest connected‑TV advertising ecosystems. The transaction is positioned to merge Fox’s flagship sports, news and entertainment properties—including the Tubi streaming service—with Roku’s platform that powers millions of households’ ad‑supported viewing experiences. The deal is framed as a strategic move to deepen Fox’s reach in the rapidly expanding over‑the‑top (OTT) market, leveraging Roku’s robust ad inventory and data capabilities to enhance monetization of Fox content.

Key figures highlight that Roku currently serves over 100 million active users worldwide, with an average of 1.5 hours of ad‑supported viewing per user each month. Fox’s acquisition is expected to unlock an additional $1 billion in annual advertising revenue, based on Roku’s current CPM rates of $12–$15 for premium inventory. The combined entity will also benefit from cross‑platform synergies, such as unified content distribution and shared user data for targeted advertising.

The scope of the deal covers global markets, with a particular emphasis on North America and Europe where OTT penetration exceeds 70 %. The transaction is slated to close in Q4 2026, pending regulatory approval. Fox’s leadership cites the need for scale to compete against Amazon and other tech giants, noting that Amazon’s earlier attempts to acquire a streaming platform were stymied by antitrust concerns and strategic misalignment. The acquisition is expected to position Fox as a leading player in the converging media‑tech landscape, combining content creation with advanced ad delivery infrastructure.