Roku buys video-streaming app Quibi’s content library

FILE PHOTO A video sign displays the logo for Roku Inc, a Fox-backed video streaming firm, in Times Square after the company's IPO at the Nasdaq Market in New York
FILE PHOTO A video sign displays the logo for Roku Inc, a Fox-backed video streaming firm, in Times Square after the company's IPO at the Nasdaq Market in New York, U.S., September 28, 2017. REUTERS/Brendan McDermid/File Photo GLOBAL BUSINESS WEEK AHEAD

January 8, 2021

(Reuters) – Video-streaming device maker Roku Inc said on Friday it had acquired the global distribution rights to Quibi’s content library, nearly three months after the short-form video streaming app was shut down following an unsuccessful run.

Financial terms of the deal were not disclosed.

Roku, popularly known for its devices used to stream services such as Netflix and Amazon Prime Video, is pushing aggressively into content with its own app, Roku Channel, that offers films and shows produced by other companies.

More than 75 shows and documentaries on Quibi will be available this year on Roku’s free, ad-supported channel.

The Quibi deal marks the company’s entry into the crowded market of original content production.

Quibi, which announced its closure in October, featured original films and TV shows on its platform, starring Liam Hemsworth, Sophie Turner and Kristen Bell. Some popular titles include “#FreeRayshawn”, “Survive”, “Thanks a Million” and “Flipped”.

Roku said that following an internal restructuring by Quibi, Roku acquired Quibi Holdings LLC, the company that holds all of Quibi’s content distribution rights.

Roku’s shares rose 3% in early trading.

(Reporting by Eva Mathews and Ayanti Bera in Bengaluru; Editing by Krishna Chandra Eluri and Maju Samuel)