Roku’s unique culture is being tested by a surge of new employees
Roku co-founder and CEO Anthony Wood worked at Netflix in 2007, but he says his company’s cultural similarities to the streaming giant are mostly coincidental.
“The culture at Roku was the same before I worked at Netflix,” Wood said in an interview. “Just similar philosophies.”
Netflix and Roku have culture documents in which theyliken themselves to sports teams.
“Working at Roku is like being part of a professional sports team,” Wood wrote in a 2015 document that every employee receives. “We put extreme care into recruiting the best people; we pay well in a competitive market; encourage excellent teamwork, and expect everyone to perform at a high level.”
One former executive said every job at Roku is like being a “field goal kicker,” where employees are expected to accomplish specific, detailed goals. Some employees thrive under the pressure. If they can’t, they won’t be there long.
“We expect you to do a good job,” Wood said. “If you don’t do a good job, you’re going to get fired eventually.”
Wood and Netflix CEO Reed Hastings point to their cultures as a reason for their companies’ success. But both cultures can also lead to an environment of fear and confusion — though for different reasons.
At Netflix, as The Wall Street Journal explained in a 2018 story, employees formally review each other, giving blunt feedback to bosses and underlings alike. Workers “sunshine” errors, offering up public apologies and acknowledgments of failures.
“We expect you to do a good job. If you don’t do a good job, you’re going to get fired eventually.”Anthony WoodCEO, Roku
In contrast, Roku doesn’t give any performance reviews at all. Wood has also made the unusual decision of paying employees based on a market rate rather than giving raises tied to internal performance. That’s irritated some younger employees who have expected a perfunctory raise every year at performance review time, said Wood.
“We have a lot of younger employees now, and they are very focused on getting raises,” Wood said. “You know, I’ve been here a year, I should get a raise. And, you might not get a raise. Or you might. It just depends on what we think the rate is for you. Sometimes they understand and adapt, sometimes they don’t understand, and they quit and then they post on Glassdoor. So, it’s a bit of a cultural mismatch.”
It can be difficult to figure out market rate, Wood acknowledged, especially because California and New York state laws prohibit asking employees how much they’re getting paid. But Roku can glean competitive salaries because it knows what it needs to pay to poach employees from other companies, Wood said.
Read the published culture documents from Roku and Netflix
Excelling in ambiguity
Annual reviews aren’t necessary because employees should be getting real-time feedback, Wood said.
“The work is hard, but it is also rewarding, and I am given a lot of autonomy,” said Taylor Yanez, a Roku engineer. “We don’t do annual reviews, which are a huge time suck.”
But while Yanez said he was given instant feedback by peers, seven former Roku employees who left in the last 18 months said they felt confused by Roku’s culture. They spoke with CNBC on condition of anonymity, either because they feared potential backlash or because contractual language in their severance packages forbids speaking about their firings.
“I literally don’t know why I was fired,” said one recently departed manager. “It’s the strangest place I’ve ever worked.”
Former employees said while they were assigned specific tasks, bosses evaluated them on different metrics because goals frequently changed as Roku grew. In addition to no performance reviews, Roku has very little hierarchy— almost all Roku engineers are called “senior software engineers,” regardless of tenure or role. Mix in a recent surge of new employees — Roku has increased headcount almost threefold, to more than 1,900 employees, since its 2017 IPO — and the result can be confusing.
Several ex-Roku employees said their bosses told them that working in ambiguous settings was part of the job. That runs counter to the Roku culture document, which claims, “Roku teams communicate clearly, in real time with each other and with other teams across the company. Plans, milestones, and strategic context are broadly known.”
“There’s no formal training,” said one mid-level executive, “At Roku, finding information is on you.”
Roku is trying to improve some of its organizational infrastructure as it grows, including formalizing an internship orientation for the first time this year, two of the people said.
“We compete to attract and retain the best talent anywhere and treat people like adults,” a Roku spokesperson said. “We provide onboarding and training for new and existing employees and seek those who are particularly resourceful, innovative, and self-sufficient. And we have a culture of real-time feedback, which has been remarkably successful.”
Netflix with a twist
Netflix and Roku offer unlimited vacation time, giving employees the right to dictate their own schedules as long as they can get their work done. Both have purposefully flat organizational structures, deemphasizing titles and hierarchy.
But unlike Netflix and other large technology companies, Roku offers few external employee perks, such as on-site day care, daily free catered lunches, inexpensive health plans or extensive personal wellness benefits. Roku doesn’t even match 401(k) contributions.
Instead, Wood has chosen to funnel that money into workers’ salaries, believing employees should be in charge of how they spend their money. Every past and present Roku employee who spoke with CNBC said the company compensated at or beyond their expectations. It pays a base salary and grants restricted stock units, though it doesn’t give bonuses.
Given the stock’s performance, it’s easy to see why employees have been eager to stick with the company. Roku shares have gained about 2,000% since the company’s IPO.
Roku’s senior leadership website page also illustrates a lack of diversity — including no women. That will change soon. Wood said Roku just announced a new head of human resources, Kamilah Mitchell-Thomas, previously Dow Jones’ chief people officer, who will replace current HR leader Troy Fenner. Roku’s board does have three women of nine members.
But Wood said diversity for diversity’s sake won’t dictate whom he hires.
“My focus is hiring the best people I can find,” Wood said.
Wood said he meets weekly with an executive coach, Dave Krall, who was Roku’s president and chief operating officer in 2010 and, before that, CEO of Avid Technology. He defines his leadership as hiring the right people and allowing them the freedom to do their job.
“The leadership a company needs changes as it grows,” Wood said. “When you’re 15 or 20 people, I’m the product leader at that point. As it gets bigger and you hire more senior people, you don’t have to do that anymore and they don’t want you to do that, because that’s their job. I used to do our product road map. I don’t do that anymore. These days, we have new initiatives. Pushing us into new business areas and expanding our businesses are where I’m hands-on today.”
WATCH: There’s a lot of room to keep growing in the streaming business: Roku CEO
Salesforce CEO Marc Benioff participates in an interview during the World Economic Forum in Davos, Switzerland, on Jan. 22, 2025.
Chris Ratcliffe | Bloomberg | Getty Images
Salesforce is ramping up partnerships with leaders in generative artificial intelligence as investors continue to fear that the software company faces business risks due to the rapid growth of AI.
Just ahead of its annual Dreamforce conference in San Francisco, Salesforce said Tuesday it will enable the use of AI models from OpenAI and Anthropic inside its Agentforce 360 software. A day earlier, Salesforce expanded Agentforce beyond text chats to also handle voice calls.
“The way people are going to interact with software is going to fundamentally shift,” said Brian Landsman, CEO of Salesforce’s AppExchange business and executive vice president of partnerships, in an interview. The interaction could be in ChatGPT or in Slack, he said.
Salesforce will collaborate with Anthropic to bring Agentforce 360 into Claude, Landsman added.
Shares of Salesforce are down about 26% this year, while the S&P 500 index has gained 13%, as Wall Street seeks faster revenue growth from the cloud software company. So far, Agentforce revenue has been “modest,” Morgan Stanley analysts, who have the equivalent of a buy rating on Salesforce, wrote in a Monday note.
Large software companies are increasingly turning to popular AI model developers for new capabilities. Atlassian, Datadog and Intuit have previously signed deals with OpenAI, and Microsoft has invested almost $14 billion in the company. In September, Databricks committed to spending $100 million on OpenAI models.
As part of Salesforce’s announcement, customers will be able to access corporate information in Agentforce 360 and create charts in Tableau through the ChatGPT assistant, which has more than 800 million weekly users. Last week OpenAI announced a software development kit for integrating third-party applications into ChatGPT.
Companies working with both OpenAI and Salesforce will be able to sell products through ChatGPT’s instant checkout feature later in 2025. Salesforce plans to work with Anthropic on selling products for regulated industries, starting with financial services.
OpenAI said last month that ChatGPT users would be able to purchase products from U.S. Etsy sellers and Shopify merchants.
Meanwhile, Salesforce said its engineering organization is adopting Anthropic’s Claude Code programming product.
“We plan to continue to go much deeper with these partners over time,” Landsman said.
Salesforce CEO Marc Benioff has been defending his company’s position in the AI boom. And on last month’s earnings call, he said Anthropic and OpenAI both use Salesforce tools.
“All these next-generation AI companies ranging from OpenAI to Anthropic to everyone are on Slack,” Benioff, who is also Salesforce’s co-founder, told analysts. “And it is incredible how they’ve used that as their operating system and as their platform to run their companies.”
WATCH: Salesforce CEO Marc Benioff goes one-on-one with Jim Cramer
Instagram has installed a new privacy setting which will default all new and existing underage accounts to an automatic private mode.
Brandon Bell | Getty Images
Meta will now limit the content that teenage users can see on Instagram to what they would typically encounter in a movie rated PG-13, the social media company said Tuesday.
With the new content guidelines, Meta said it will hide certain accounts from teenagers, including those that share sexualized content or media related to drugs and alcohol. Additionally, teenagers on Instagram will not be recommended posts that contain swear words, though teen users can still search for it.
The changes come after the company has faced waves of criticism over its handling of child-safety and related mental health concerns on its platform.
As part of the changes, Instagram accounts with names or biographies with links to adult-themed websites like OnlyFans or liquor stores will be hidden from teens, the company said. Teen Instagram users will no longer able to follow those kinds of accounts, and if they already do, they will be unable to see or interact with the more adult-leaning content that they share.
Meta executives said during a media briefing that while the company’s previous content guidelines were already in line or exceeded PG-13 standards, some parents said they were confused about what kinds of content teens could view on Instagram. To provide clarity, Meta decided to more closely standardize its teen-content policies with movie ratings that parents could better understand, the executives said.
“We decided to more closely align our policies with an independent standard that parents are familiar with, so we reviewed our age-appropriate guidelines against PG-13 movie ratings and updated them accordingly,” the company said in a blog post. “While of course there are differences between movies and social media, we made these changes so teens’ experience in the 13+ setting feels closer to the Instagram equivalent of watching a PG-13 movie.”
The social media company has come under fire from lawmakers who claim that it fails to adequately police its platform for child-safety related issues.
The company then known as Facebook came under fire in 2021 when The Wall Street Journal published a report citing internal company research that showed how harmful Instagram was for teenage girls specifically. Other reports have also shown how easily teenagers can use Instagram to find drugs, including through ads run by the company.
Over the past year, Meta has rolled out several features intended to provide parents more transparency about how their teenagers are using the company’s apps. In July, Meta debuted new safety tools intended to make it easier for teenage Instagram users to block and report accounts as well as receive more information about who they interact with on the platform.
In August, the watchdog Tech Transparency Project released a report that alleged Meta’s ties and sponsorship of the National Parent Teacher Association “gives a sheen of expert approval” to its “efforts to keep young users engaged on its platforms.” The National PTA said in a statement that it doesn’t endorse any social media platform, while Meta said at the time that it is “proud to partner with expert organizations to educate parents about our safety tools and protections for teens, as many other tech companies do.”
Meta said its new Instagram content guidelines will begin rolling out Tuesday in the U.S., UK, Australia and Canada before expanding to other regions.
WATCH: Is an AI Bubble Brewing?
Governor Gavin Newsom speaks at Google San Francisco office about ‘Creating an AI-Ready Workforce’ that new joint effort with some of the world’s leading tech companies to help better prepare California’s students and workers for the next generation of technology, in San Francisco, California, United States on August 7, 2025.
Tayfun Coskun | Anadolu | Getty Images
California Gov. Gavin Newsom signed a series of bills Monday targeting child online safety as concerns over the risks associated with artificial intelligence and social media use keep mounting.
“We can continue to lead in AI and technology, but we must do it responsibly — protecting our children every step of the way,” he said in a release. “Our children’s safety is not for sale.”
The latest legislation comes as the AI craze ushers in a wave of more complex chatbots capable of deep, intellectual conversation and encouraging behaviors. Across age groups, people are leaning on AI for emotional support, companionship and in some cases, romantic connections.
A recent survey from Fractl Agents found that one in six Americans rely on chatbots and worry that losing access would stunt them emotionally and professionally. More than a fifth of respondents reported having an emotional connection with their chatbot.
Many lawmakers have called for laws requiring Big Tech to better protect against chatbots promoting unsafe behaviors such as suicide and self-harm on their platforms.
The bills signed into law by Newsom on Monday are intended to address some of those concerns.
The changes
One of the laws passed by California implements a series of safeguards geared toward AI chatbots.
SB 243 is the first state law of its kind and requires chatbots to disclose that they are AI and tell minors every three hours to “take a break.” Chatbots makers will also need to implement tools to protect against harmful behaviors and disclose certain instances to a crisis hotline.
The law allows California to maintain its lead in innovation while also holding companies accountable and prioritizing safety, Newsom said in a release.
In a statement to CNBC, OpenAI called the law a “meaningful move forward” for AI safety standards.
“By setting clear guardrails, California is helping shape a more responsible approach to AI development and deployment across the country,” the company said.
Another bill signed by Newsom, AB 56, requires that social media platforms including Instagram and Snapchat to add labels that warn users of the potential mental health risks associated with using those types of apps. AB 621, meanwhile, heighten penalties for companies whose platforms distribute deepfake pornography.
The other key law, known as AB 1043, requires that device makers, like Apple and Google, implement tools to verify user ages in their app stores. Some Big Tech companies have already endorsed the law’s safeguards, including Google and Meta.
Last month, Kareem Ghanem, Google’s senior director of government and affairs and public policy, called AB 1043 one of the “most thoughtful approaches” to keeping children safe online.
The impact to big tech
The new laws require a series of changes to many long-standing business models. But D.A. Davidson’s Gil Luria said companies should experience a “distributed” impact from these new measures, since all businesses are forced to accommodate the rules.
“For AI chats the timing is beneficial since these companies are still working out their business models and will now accommodate a more restrictive approach at the outset,” he said.
Other countries have already enacted rules tougher restrictions on AI. Last year, the European Union passed the AI Act that includes fines for companies that violate the laws’ framework that includes a social scoring systems.
Utah and Texas have also signed laws implementing AI safeguards for minors. The Utah law, for example, requires that Apple and Google to verify user ages and it requires parental permission for those under 18 to use certain apps. These laws have also raised questions over whether harsh restrictions violate free speech or bans are the most effective solution.
California isn’t the first jurisdiction to pass laws like these, but Newsom’s signings carry significance due to the size of the state’s population and the fact that many tech companies are based in the San Francisco Bay Area.
WATCH: Why it’s time to take AI-human relationships seriously
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports2 years agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports3 years agoButton battles heat exhaustion in NASCAR debut
-
Sports3 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment1 year agoHere are the best electric bikes you can buy at every price level in October 2024