Fox Corp. has agreed to acquire Roku, a leading streaming platform and connected-TV operating system, in a transaction valued at approximately $22 billion, including debt, in a combination of cash and stock. The deal, announced on June 15, 2026, positions the combined company as the third-largest player in U.S. television by share of viewing, with access to more than 100 million households worldwide.

Roku, founded in 2002 by Anthony Wood, who serves as chairman and CEO, initially gained prominence as one of the first suppliers of streaming set-top boxes and subsequently developed its own streaming devices and platform. The company hosts the Roku Channel, a free, ad-supported streaming service, and its platform integrates various streaming apps into a single user interface spanning smart TVs, connected devices, and mobile.

Under the terms of the deal, Roku shareholders will receive $96 in cash and approximately 0.97 Fox Class A shares per share held, representing a premium of about 34% to Roku’s share price prior to news reports of its strategic review. Fox shareholders will own roughly 73% of the merged company. The deal has received board approval from both companies and is expected to close in the first half of 2027, subject to regulatory clearance. Fox plans to finance the cash portion with cash on hand, debt, and a $12 billion bridging loan from Morgan Stanley, aiming for a post-close leverage ratio of about 2.8 times.

Fox CEO and executive chair Lachlan Murdoch described the acquisition as a “defining moment,” highlighting the opportunity to combine Fox’s live news, sports, and entertainment assets with Roku’s “preeminent streaming platform.” Murdoch emphasized that the deal aligns with Fox’s strategic shift toward streaming, building on the company’s 2020 acquisition of Tubi, a free ad-supported streaming service. Fox’s portfolio includes sports broadcasting rights to NFL, MLB, and college athletics, alongside news outlets such as Fox News.

Roku’s Anthony Wood expressed confidence that joining with Fox will accelerate Roku’s vision and innovation while maintaining its open-platform approach that has attracted partners and viewers alike. Wood will retain an ongoing role in the combined company and join its board.

Industry analysts view the acquisition as a strategic move by Fox to deepen its footprint in the burgeoning connected TV market, where advertising revenue is becoming increasingly critical amid shifts away from traditional cable and standalone subscription models. The combination of Fox’s premium live content and control over a leading streaming platform could enhance the company’s ability to reach consumers directly, gather first-party data, and better monetize audiences through advertising.

However, some analysts pointed out questions remain about how well Roku’s digitally focused platform will integrate with a legacy media conglomerate like Fox. Following the announcement, Fox’s stock dropped by about 15%, while Roku’s shares fell modestly but remained above the offer price.

The deal arrives amid heightened consolidation in the media and streaming sectors, coming shortly after the completion of a $110 billion merger between Warner Bros. Discovery and Paramount Skydance, underscoring the intensifying race among media companies to secure scale and cross-platform reach.

Overall, this acquisition positions Fox to compete more aggressively in streaming by combining premium live content, ad-supported services, and direct access to consumers through Roku’s extensive platform.