Roku Enters High-End TV Market, Challenging Samsung and LG with New Pro Series

Author: Anusuya Lahiri | January 03, 2024 12:23pm

Roku Inc (NASDAQ:ROKU), renowned for its TV streaming devices, is set to launch its first premium televisions in the spring, directly challenging established brands like Samsung Electronics Co (OTC: SSNLF) and LG Electronics Inc (OTC: LGEIY) (OTC: LGEJY). 

The new Pro Series TVs, which include 55-inch, 65-inch, and 75-inch models, will be priced up to $1,500, marking a significant step up from Roku's existing Select and Plus models that peak at $999.

As announced before the Las Vegas CES technology conference, these TVs feature a sleek design suitable for wall mounting, enhanced picture quality, and superior audio capabilities for a cinematic experience, Bloomberg reports.

Additionally, Roku is set to broaden the retail distribution of its more affordable TVs available at select stores, including Best Buy Co, Inc (NYSE:BBY). 

The company also plans to introduce an AI-driven automatic picture quality adjustment system.

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This move is pivotal for Roku, which initially gained fame for its budget-friendly streaming boxes. 

The company has seen its stock more than double in the past year, with a resurgence in device unit revenue, which analysts predict grew by 16% in 2023 after declines in previous years from a 2020 peak of $510.6 million.

Over 80% of Roku's annual revenue stems from its streaming platform. The introduction of the Pro Series TVs represents Roku's strategic expansion in the highly competitive television market, aiming to continue the momentum in device sales while diversifying its product offerings.

Price Action: ROKU shares traded lower by 2.66% at $86.63 on the last check Wednesday.

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Disclaimer: This content was partially produced with the help of AI tools and was reviewed and published by Benzinga editors.

Roku box photo via Wikimedia Commons

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