Roku had a phenomenal year in 2017 where it clocked a whopping 19 million active users, up from the 16.7 million at the end of the third quarter. A major share of this feat goes to its strong foothold in the smart TV market where it is currently a leading streaming operating system for TV today.
Another data suggests that some 45% of viewing on Roku is on ad-supported channels.
Roku acquires active users by selling streaming players that connect to televisions and by licensing its smart TV operating system to TV makers and pay-TV operators. Apart from advertising, Roku also generates revenue from video service subscriptions and transactional video-on-demand.
Roku Chief Executive Anthony Wood at the CES consumer electronics trade show, quoted, “We are the leading streaming operating system for TV today and want to remain in that position as all TV shifts to streaming.”