The online video streaming service is continuously working to establish itself as a content destination of choice.
What went down is this:
Following the announcement that the streaming video platform Roku (ROKU 5.11%) has reached an agreement with Warner Bros. Discovery (WBD 0.49%) to bring the studio’s branded free, ad-supported TV (FAST) channels to the Roku Channel, shares of Roku are currently trading 4.5% higher at 10:29 a.m. ET on Tuesday morning. Westworld, The Bachelor, Say Yes to the Dress, and Cake Boss are just some of the upcoming shows and movies.
In addition, Roku and Warner Bros. have reached an agreement to license approximately 2,000 hours of the production company’s on-demand library programming. This deal will allow Roku users to access hundreds of TV series and movies from networks such as HBO, HBO Max, Discovery Channel, HGTV, and Food Network.
According to recent reports, FAST is the area of TV viewing that is expanding at the fastest rate, and it is anticipated that it will eventually overtake cable.
A loss of $1.4 billion over the first nine months of 2022 has persuaded the movie company that it needs to embrace ad-supported viewing content. Previously, Warner Bros. Discovery had saved its content for its paid streaming services, such as HBO Max.
Despite the fact that Warner Bros. has seen its subscriber rolls expand to about 95 million people, this number is significantly lower than what both Netflix and Disney have stated.
Rob Holmes, Roku’s VP of programming, had this to say about the rise of premium content on FAST: “The rise of premium content on FAST is a win for both the viewer and the content owner, as well as for advertisers who want to target these audiences through well-known programs.”
Roku is quickly becoming the go-to site for FAST content after signing arrangements with AMC Networks, NBCUniversal, and the National Hockey League over the course of the past year to offer their own networks’ programming.
According to Roku’s research, the Roku Channel was one of the top five channels in the third quarter when it came to reaching active accounts and the amount of engagement those accounts had with Roku. Roku was also the first company to offer FAST services and video-on-demand material in the United States that was sponsored by advertisements.