NEW YORK — A major acquisition in the U.S. media industry is set to reshape the television and streaming landscape after Fox Corp. announced an agreement to acquire streaming platform Roku in a deal valued at about $22 billion, the companies said this week.
The cash-and-stock transaction, announced on Monday, combines one of the largest providers of live sports and news programming with a leading television streaming platform used by more than 100 million households, according to the companies. The deal remains subject to shareholder and regulatory approvals and is expected to close in early 2027.
Fox Chief Executive Lachlan Murdoch described the acquisition as a significant step in the company's strategy to expand beyond traditional television distribution. “This combination will transform the scope of our company into high-growth verticals,” Murdoch said in a statement released by Fox.
The transaction brings together Fox's broadcast and cable assets, including sports and news programming, with Roku's connected television platform, streaming devices and advertising technology. Roku also operates The Roku Channel, a free ad-supported streaming service. Fox already owns Tubi, another advertising-supported streaming platform.
Industry observers have viewed the deal as part of a broader shift in the U.S. television business as audiences continue moving from traditional cable and satellite services toward internet-based viewing. Media companies have increasingly sought larger digital audiences and expanded advertising capabilities as viewing habits evolve.
The acquisition follows other significant consolidation efforts in the entertainment sector. Earlier this month, the U.S. Department of Justice cleared Paramount Skydance Corp.'s proposed acquisition of Warner Bros. Discovery after an eight-month review. The department said the transaction was unlikely to harm competition or consumers.
Fox said Roku's platform would continue to support competing streaming services after the merger. Roku Chief Executive Anthony Wood is expected to join Fox's board following completion of the deal. Company officials said the combined business would rank among the largest television companies in the United States by audience reach across broadcast, cable and streaming platforms.
As of Thursday, regulators had not announced a timetable for reviewing the transaction. Fox and Roku said they would continue operating as separate companies until the acquisition receives the required approvals and the deal is completed.
