It's not without reason that Roku (NASDAQ: ROKU) stock has continued to rise over the past month. The company has been trying to raise its advertising revenue by improvements in the quality and quantity of streaming of content, also include video advertising related technologies.
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The company acquired the great content from Quibi in January, and re-branded as "Roku Originals" in recent times, and it will be launched on The Roku Channel. Last month, the company has closed on the acquisition of Nielsen’s advanced video advertising business, including Nielsen’s video automatic content recognition and dynamic ad insertion technologies. The company also acquired the This Old House business, including the This Old House and Ask This Old House TV programs, the show libraries, all digital assets and the television production studio, which would bring more advertising revenue and great content to Roku platform.
These recent moves from the company will help it continues to add great content to the Roku platform and enhances its user experience. The company's Roku Channel has reached U.S. households with an estimated 63 million people by the end of 2020, an increase of over 100% year-over-year. At the same time, the retail advertising spend on the Roku platform more than doubled year-over-year in its fourth quarter. Roku will release its first quarter 2021 financial results on May 6, and previously expected that its total revenue for the quarter will reach $485 million, which represents an increase of 51% year-over-year.
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