Roku has launched Howdy, a commercial-free streaming platform priced at $2.99 monthly. Known primarily for its free ad-supported Roku Channel, this marks a notable shift in the company’s strategy. With a vast library of licensed and original content, Howdy aims to capture a new segment of the market—viewers who want affordable, uninterrupted entertainment.
Howdy Expands Roku’s Streaming Portfolio
Roku’s business has historically centered on ad-supported content. The Roku Channel, launched in 2017, contributed significantly to the platform’s advertising revenue and growth. With Howdy, the company introduces a subscription-based option that targets consumers willing to pay a small fee in exchange for an ad-free experience.
Unlike typical streaming giants, Howdy is positioned as a low-cost complement, not a direct rival. Priced at less than a coffee, Roku is betting on affordability and simplicity to draw in viewers who are overwhelmed by expensive, fragmented subscription options.
What’s on Howdy?
The new platform offers over 10,000 hours of TV shows and movies at launch. Content partners include Lionsgate, Warner Bros. Discovery, and FilmRise. Roku’s own lineup of Roku Originals will also be available, adding exclusive content to the mix.
Initially, Howdy is accessible only on Roku devices, but the company has confirmed plans to expand availability to mobile and other platforms in the near future. The service is commercial-free, making it an attractive alternative to ad-heavy free options.
Timing and Business Context
The release of Howdy comes shortly after Roku reported strong second-quarter results. The company posted $1.11 billion in revenue, surpassing analyst expectations. Platform revenue, driven largely by advertising, climbed 18% year-over-year to $975 million.
Roku also recently secured a partnership with Amazon Ads, allowing advertisers to target more than 80 million U.S. households across Roku and Fire TV devices. While Howdy will not display ads, the deal strengthens Roku’s broader platform and underscores its expanding influence in the connected TV market.
By launching Howdy, Roku is venturing into low-cost subscription streaming while maintaining its free offerings. The service is designed to appeal to users looking for commercial-free content without the high cost of traditional streaming platforms. With major content deals in place and plans to grow its reach beyond Roku devices, Howdy could help Roku carve out a unique position in an increasingly crowded industry.
