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Anthony Wood
Stephen Desaulniers | CNBC

Roku has built a dominant position as the co-leading streaming video distribution platform in U.S. households, in a near dead-heat with Amazon. The two companies own more than 70% market share, according to research firm Parks Associates.

But can Roku maintain its lead over Apple and Google if Americans’ future is a house controlled by a voice-enabled smart-home device that can turn on and off a television and change the channel?

That’s not what people want, claims Roku CEO and founder Anthony Wood. He spoke with CNBC’s Alex Sherman in an exclusive interview.

(This interview has been edited for length and clarity. Wood’s thoughts on Roku’s culture can be found here.)

Sherman: Let’s talk about interactivity. Is it just a matter of time before Roku lets me watch sports and bet from my TV at the same time and do other sorts of cool stuff people have never seen before?

Wood: It’s a complicated question. A couple points. One, it’s not as bad as it used to be, but even today, many companies just don’t really understand the attitude people have when watching TV. They want to sit there, drink their beer, and watch TV. You’ve seen over the years, there was this whole phase where there were interactive TV companies. They all failed, because people don’t want to do that. My philosophy is to keep things very simple. So any time interactive ideas have come up, we would not do that.

That said, there are some exceptions. For example, advertising — we offer interactivity to our ad partners. If you see an ad you’re interested in, like a car ad, you can browse, or do something simple like press a button and send me a text with an offer. So, we experiment with that type of interactivity because it doesn’t get in the way of the viewing experience. If you want to get a free coupon because you’re interested in a commercial, press a button, you can do that.

One of our main goals as a platform is to help you find content that you want to watch. Things like universal search — where you can search across services for an actor or a movie — and get information about if something is free on one service or you have to pay for it on another, that type of interactivity is something that people love, if it’s around discovering content. So, we’re looking for other ways to help people discover content that’s interactive in its nature.

In terms of sports betting — maybe. We’ll see.

Is the future of the TV ecosystem one where every device in the home is connected, and I just call out to my TV and it turns on, and I don’t need a remote anymore?

We are incredibly focused on being the best TV experience. That’s why we’re successful. There are a lot capabilities that I think are silly. People generally do not want to talk to their TV to turn it on, for example. Because as soon as you turn it on, you need to pick up your remote control anyway.

Well, you do today, maybe, but theoretically, you don’t have to, right? Why can’t I control everything by voice? Isn’t that easier?

I don’t think people want to talk to their TV. In cases where it’s faster and easier — search, for example — we make voice remotes. We focus on integrating voice into areas where it can really make a difference, like entering your password or your e-mail address or searching — those are things where it’s tedious to tap stuff out on your remote. But other areas, like just scrolling up and down or the power button, it’s actually easier to use the remote.

But I always lose my remote.

Well, that’s why we let you use your phone as a remote. We also have a cool feature called remote finder, where we help you find your remote for you. We’re big believers in remotes. You look at Chromecast, they made a huge bet that people wouldn’t use their remotes. That wasn’t the case.

One topic that investors are curious about is international expansion. Do you have a broad road map for international? I know you’re in Canada, Mexico and Brazil a little bit. But there’s a whole world out there. What’s the plan? Lay it out for us.

We have a strategy. We have tactics and road maps which we don’t disclose. But our strategy is pretty straightforward. If you look at the evolution of our business model, first we focus on scale, and once you have enough scale, then you start focusing on monetization. That’s the same strategy we’re talking on international. With most countries, we are still at the building scale stage as opposed to the monetization. There are some exceptions. With Canada, as you mentioned, that’s the first country we entered. Now we sell ads there and we have The Roku Channel there. So we’re doing monetization there.

The other part of our strategy is using the same techniques that have worked for us in the U.S. and applying them internationally. So, focus on growing our smart TV market share — we’re No. 1 in smart TV market share in the U.S. We’re No. 1 in Canada. We’re No. 2 in Mexico. Samsung is No. 1 there, but we’re catching up fast. So focusing on smart TVs and selling low-cost players is how we gain scale. For example, when we launch a player now, we launch it in many countries at the same time as opposed to just the U.S.

If you look at all the countries that we’ve entered, our market share is growing and we’re doing well. Android has been the default choice internationally for a long time because it was the only option. So they’re our biggest competitor. But as we add new countries and start focusing on them, we have an awesome solution. The same reason we’ve won in the U.S. is the same reason we expect to win internationally.

I’ll get into this in the main feature more in depth, but after you started Roku, you worked for Reed Hastings at Netflix for about nine months. Have you modeled your leadership at Roku after him? And if not, has there been anyone you’ve tried to emulate?

My relationship with Netflix is obviously very important to Roku, but I only worked there for nine months. It was nine months. It was a great experience. I’ve got lots of people I respect, but I haven’t tried to copy anyone in particular. I used to read a lot of business books when I was younger, but now I’ve stopped.

Is there a reason you stopped? Did you feel like you just didn’t get any use out of them anymore?

I think you go through different phases in your career. When you first start out, just like when you first start out in college, you just have no clue. So, reading books and talking to people is a good way to learn the basics. As you advance, I think, you become much more experienced, and you find that a lot of the books are not helpful. Like, “Oh yeah, if I didn’t know anything, that’s what I’d do,” but that’s not actually the right way to do it.

One of the best things I’ve done to help me build my skills since Roku has grown is to have an adviser — kind of like a coach. He used to be the CEO of a public company. So when I have issues, I talk to him. That’s David Krall. He was the CEO of Avid. He works one day a week for us being an adviser. Talking to an experienced CEO is helpful.

Describe yourself as a leader.

What I try to do is hire good people — people I want to work with, so there’s a good chemistry and team — and devise a strategy and some high-level goals. I might come up with the strategy or work with the team to develop the strategy, but there will be a strategy. I think I’m pretty strategic. And then, focus on execution, giving people the freedom and whatever they need to do their job. That’s what I spend my time on — hiring and strategy.

You’re 56 years old, is that right?

Maybe. That sounds right.

Do you expect to be running Roku as an independently traded company ten years from now?

I have no idea. I’m happy running Roku right now. I have no idea what I’m going to do 10 years from now.

Do you know who your successor at Roku will be?

All public companies have to have a succession plan, so we have one. I focus a lot on developing talent on my team. But often there’s talent outside the company as well. So, I don’t know. I have no plans to leave, but if we were to hire a new CEO, I’d imagine we’d look internally and externally.

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Cryptocurrencies rise to start the week, bitcoin jumps above $102,000

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Cryptocurrencies rise to start the week, bitcoin jumps above 2,000

The photo illustration shows the Bitcoin cryptocurrency on November 12, 2024 in Shanghai, China.

Vcg | Visual China Group | Getty Images

The price of bitcoin leapt back above $100,000 to start the first full trading week of the new year.

The flagship cryptocurrency was last higher by about 4% at $102,234, according to Coin Metrics. The broader crypto market, as measured by the CoinDesk 20 index, gained more than 3%. Bitcoin and ether are coming off their best weeks since Dec. 6, while Solana had its best week since Nov. 22.

“Overall, we are in a bullish environment and traders appear to be risk-on as we head into the new year,” Mario Jurina, CEO at crypto swaps platform Jumper.Exchange. “With Trump’s election set to be certified today, and January often being a bullish month — six of the past 10 years saw positive price action — it’s no wonder markets are moving upward.”

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Bitcoin rises above $100,000 to start the week

The moves in crypto coincided with a rebound in tech stocks as Nvidia and shares of other chip names jumped. The tech-heavy Nasdaq was last higher by about 1.7%.

Crypto stocks Coinbase and MicroStrategy advanced nearly 6% and 5%, respectively. MicroStrategy Monday morning reported it has purchased another 1,070 bitcoins for about $101 million, bringing its total bitcoin holdings to 447,470.

Activity is coming back into the crypto market after a post-election rally that was driven by promises of a more supportive regulatory environment. The optimism sent prices rocketing for weeks before cooling at the end of the year. The price of bitcoin is expected to roughly double under the new administration this year, with some price predictions, like Fundstrat’s Tom Lee’s, being as high as $250,000.

Don’t miss these cryptocurrency insights from CNBC Pro:

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Amazon’s Ring announces smart smoke alarm as CES tech palooza kicks off

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Amazon's Ring announces smart smoke alarm as CES tech palooza kicks off

Ring security cameras are displayed on a shelf at a Target store on June 01, 2023 in Novato, California. 

Justin Sullivan | Getty Images

Amazon‘s Ring is partnering with fire safety product maker Kidde to launch a connected smoke alarm, the company announced Monday at the Consumer Electronics Show in Las Vegas.

The companies plan to launch Kidde smoke and carbon monoxide alarms that integrate Ring’s home security technology and can deliver alerts to the Ring mobile app. The Kidde Smart Smoke Alarm with Ring will cost $54.97, while the Kidde Smart Smoke and CO Alarm with Ring will cost $74.97. Both products will ship in April.

As part of the launch, Ring will also roll out a $5-per-month subscription service that gives users access to round-the-clock professional monitoring and emergency dispatchers.

Amazon acquired Ring in 2015 for a reported $1 billion. The home security company is primarily known for its video doorbell devices, which allow users to record activity in front of their homes, though it has expanded to include a portfolio of products ranging from camera-equipped floodlights to flying security camera drones.

Amazon doesn’t disclose unit sales for its Ring division, but Ring and rival home security company SimpliSafe comprise one-fifth of the U.S. market for professional monitoring systems, according to data from market research firm Parks Associates. Ring CEO Liz Hamren, who took the helm from founder Jamie Siminoff in March 2023, told Bloomberg last May that the company “recently” became profitable.

Users aren’t required to subscribe to Ring Home, the company’s program that enables video recording storage and other security features, in order to access the new smoke alarm service.

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Global chip stocks climb as Foxconn’s bumper results show a continuation of the AI boom

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Global chip stocks climb as Foxconn's bumper results show a continuation of the AI boom

Jakub Porzyck | Nurphoto | Getty Images

Global semiconductor stocks climbed on Monday after contract electronics giant Foxconn announced record fourth-quarter revenues, suggesting the artificial intelligence boom has far more room to run.

Hon Hai Precision Industry, which does business as Foxconn internationally, said in a Sunday statement that the company’s fourth-quarter revenue totaled 2.1 trillion New Taiwan dollars ($63.9 billion), growing 15% year-over-year.

Foxconn — which is a supplier to Apple — also set a record, posting the highest fourth-quarter revenue ever in company history, according to the statement.

The firm’s bumper revenue performance was driven by growth in its cloud and networking products — which includes AI servers like those designed by the likes of chipmaker Nvidia — and components and other products segments.

Computing products and smart consumer electronics — which numbers iPhone and other smartphones — saw “slight declines,” Foxconn said.

Shares of several semiconductor firms across Asia, Europe and the U.S. rose, as a result.

In Asia, TSMC hit a record high Monday and closed 1.9% higher in Taiwan.

The largest semiconductor manufacturer globally, TSMC produces chips for the likes of AMD and Nvidia.

Other Asian chip firms also logged share price gains — South Korea’s SK Hynix and Samsung rose nearly 10% and 4%, respectively.

In Europe, globally critical semiconductor equipment firm ASML saw its shares jump almost 6%, while fellow Dutch chip company ASMI’s stock rose almost 5%. Germany’s Infineon surged more than 6%.

The momentum in semi stocks could last as they have great earnings momentum, says Jim Cramer

Paris-listed shares of European contract chipmaker STMicroelectronics rose nearly 6%.

Stateside, Nvidia got a boost from the Foxconn numbers, climbing 2% in U.S. premarket trading.

Also boosting chip stocks on Monday was Microsoft’s announcement at the end of last week about plans to invest $80 billion in 2025 on data centers that can handle AI workloads.

Microsoft is one of several tech giants splurging on GPUs (graphics processing units) from Nvidia to train and run the most advanced AI models.

AMD, Nvidia’s closest rival, rose 3% in pre-market trading Monday, while fellow U.S. chip firms Qualcomm and Broadcom both climbed almost 2%.

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