Fox to acquire Roku for $22 billion in streaming mega-deal
In brief
- Fox acquiring Roku for $22 billion at $160 per share in cash and stock transaction.
- Combined company ranks third-largest US television player by viewership share.
- Roku platform reaches 100+ million households with advanced ad-targeting from viewing data.
- Deal closes H1 2027; Fox shareholders own approximately 73% of combined entity.
The Deal Structure
Fox shareholders will own roughly 73% of the combined entity after the deal closes. The transaction is expected to complete in the first half of 2027, pending regulatory approval and customary closing conditions.
This acquisition marks a significant strategic shift for Fox. The company sold most of its entertainment assets to Disney in 2019, leaving it focused on news, sports, and streaming. Since then, Lachlan Murdoch has been steering Fox's streaming strategy, which already includes Tubi, the free ad-supported streaming service Fox acquired back in 2020.
Combining Ad Sales and Targeting
The real prize here is what happens when Fox's ad sales operation meets Roku's data engine. Fox's existing ad sales operation is substantial, built on decades of selling commercials during NFL games, Fox News programming, and entertainment shows. Roku, meanwhile, has spent years building out its ad-targeting capabilities, collecting viewing data from its massive user base.
Plugging that sales force into Roku's targeting engine could meaningfully boost the revenue each ad impression generates. Roku's free ad-supported channel, The Roku Channel, has been steadily eating into traditional viewership numbers for years. This deal lets Fox recapture some of that value by combining its proven commercial relationships with Roku's audience intelligence.
Market Position
The combined company would rank as the third-largest US television player by viewership share. That positioning alone signals how much streaming has reshaped the competitive landscape. Fox isn't buying Roku to preserve the old model — it's buying to compete in the new one, where ad-supported streaming is the fastest-growing segment of the television market.
