News Corp., Sky Invest in Roku

SARATOGA: Roku, manufacturer of devices that enable content to be streamed from the Internet to TV sets, has received $45 million in a new financing round from a group of investors that includes News Corporation and BSkyB.

The latest financing round also includes previous Roku investors Menlo Ventures and Globespan Capital Partners, plus an unnamed partner. The financing will be used for advertising, international expansion, the stepping up of production of Roku hardware and product development on the platform to include advertising, games, transactional and pay-per-view video as well as content packages. The Roku streaming players on the market, available in the U.S., Canada, the U.K. and Ireland, stream more than 500 entertainment channels. The company is gearing up to launch the Roku Streaming Stick, a wireless streaming device that integrates with newer TVs and consumer electronics devices.

“We have watched Roku maintain market leadership since the launch of its streaming platform four years ago and we look forward to deepening our relationship, having already worked closely together on the launch of several products,” said Jon Miller, chief digital officer at News Corp., who has joined the Roku board. “Roku’s significant technology advantage, coupled with a strong market position, places them in a unique position to be an integral part of the television landscape for years to come.”

BSkyB CFO Andrew Griffith noted, “Coupled with the on-going strength of satellite distribution, online and mobile help us unlock even more value for customers. Working with Roku we look forward to extending our multiplatform leadership.”