Roku has a problem — its buttons aren’t printing enough money

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Roku has a problem — its buttons aren’t printing enough money
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An example of how valuable your attention is

of ‘20 and ‘21), low supply plus high demand equals cash in the bank. Roku can basically print money, as long as it keeps selling devices and remotes, and convincing advertisers to keep paying the same amount for their own special buttons.Yeah, so about that. In its Q2 earnings call last week, the company said that it had to adjust its forecasts because peoplebeen buying as many Roku devices.

To break that down: Roku didn’t change its financial assumptions just because it wasn’t selling as many streaming boxes, or because fewer boxes means a smaller audience it can sell to advertisers. “The most explicit” result of those reduced sales, according to Roku, is that its button profits are going down.verythat the current economy could crater ad budgets like the start of the pandemic did.

Sure, you might be able to just ignore these buttons . But streaming services are generally under the impression that paying Roku for button placement could help net them enough subscribers to make it worthwhile, and Roku has now revealed just how important those button assumptions are to its bottom line. If you ever wanted an example of how valuable your attention is, Roku’s buttons may have just put one at your fingertips.Subscribe to get the best Verge-approved tech deals of the week.

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