In a strategic move to deepen its live-TV lineup and boost recurring revenue, Roku has agreed to acquire Frndly TV for $185 million in cash. The deal, set to close in the April–June quarter, includes $75 million in earn-outs tied to performance milestones over the next two years.
Since its launch in October 2019, Denver-based Frndly TV has quietly built a following among cost-conscious cord-cutters, growing to roughly 700,000 subscribers by late 2022. By steering clear of expensive sports rights and focusing on family-friendly channels—think Hallmark Channel, A&E, The History Channel, Lifetime and MeTV—Frndly TV offers plans starting at just $6.99 per month. Its simple pricing, unlimited cloud DVR and 72-hour lookback have resonated with viewers tired of premium bundles that often exceed $70 a month.
For Roku, whose first-quarter revenue climbed 16 percent to $1.02 billion, the acquisition represents another step in its evolution from hardware vendor to platform-first company. Roku founder and CEO Anthony Wood noted that Frndly TV’s direct-to-consumer expertise and subscriber growth will help drive more Roku-billed subscriptions and higher-margin platform revenue. In practical terms, Frndly TV’s service will be seamlessly integrated into the Roku interface, offering unified billing and potential promotional placement within The Roku Channel’s live-TV hub.
The timing could hardly be better. While YouTube TV continues to lead the market with over 8 million subscribers, and Disney’s newly combined Fubo/Hulu + Live TV venture claims more than 6 million, there’s a clear niche for a no-frills, affordable alternative. Philo has already proven the demand for non-sports bundles by surpassing 1 million subs, and Roku now joins that fray with even greater scale and distribution.
Subscribers won’t notice any disruption. Frndly TV will remain available on all current devices—Roku players and smart TVs, Amazon Fire TV, Android TV (including Google TV), Apple TV, Samsung and Vizio platforms, as well as web, iOS and Android apps. Existing customers can expect the same lineup and features, plus the added convenience of Roku’s billing and discovery tools.
Long term, this deal highlights Roku’s commitment to capturing viewers whose primary loyalty is to price and simplicity. As streaming options continue to multiply, Roku’s strengthened live-TV offering may prove decisive for households weighing premium sports-heavy bundles against leaner, family-oriented services.
Keep checking Trevor Decker News for the latest developments in streaming industry consolidation and cord-cutting trends.
