Fox Acquires Roku in $22 Billion Deal, Expanding Its Streaming Empire With Tubi

Fox has officially completed its massive $22 billion acquisition of Roku, which means that one of America’s biggest streaming platforms under its control. The deal gives Fox access to more than 100 million streaming households. It also marks a major expansion of the company’s advertising and digital business.

Fox now owns Roku, bringing two major streaming businesses together

The acquisition combines Fox’s live sports, news, and local programming with Roku’s connected TV platform. Roku reaches more than 100 million households worldwide, giving Fox a much larger digital audience.

Interestingly, Roku will continue operating as an open platform. Viewers will retain access to thousands of apps and channels, rather than being pushed toward Fox-owned services. Fox says preserving that choice remains a priority for the combined business. The company confirmed the details in its acquisition announcement.

The deal also brings together two major names in free streaming. Fox already owns Tubi, while Roku operates The Roku Channel. Both services rely heavily on advertising, making the combination particularly interesting for advertisers.

Fox expects $400 million in cost savings from the deal

Fox expects to generate approximately $400 million in annual run-rate cost savings within two years. The company also anticipates that the acquisition will increase free cash flow per share by its second full year.

That said, the deal is not simply about adding another streaming service. Roku gives Fox access to its connected TV technology, advertising capabilities, and direct relationships with viewers. This could help Fox compete more aggressively as traditional television audiences shift toward streaming.

Under the completed transaction, Roku shareholders receive $95.30 in cash and 0.9799 Fox Class A shares for each Roku share. Existing Fox shareholders own approximately 74% of the combined company. Former Roku shareholders hold the remaining 26%.

Roku founder Anthony Wood has joined Fox’s board. He will also co-chair the newly formed Fox Digital Platforms division alongside Paul Cheesbrough. The division includes Roku, Tubi, FOX One, Red Seat Ventures, and other digital businesses. As Reuters reports, the deal closed much earlier than the companies originally expected.