Roku is ending its presence in the smart home market by stopping sales of video doorbells, home monitoring systems, and other related products. The company confirmed the shift days after Fox completed its $22 billion acquisition of the streaming platform.
A Roku spokesperson told Lowpass that the decision aligns with the company’s core mission. “We’re sharpening our focus on Roku’s core mission: being the top streaming platform,” the spokesperson said. “As part of that, we plan to wind down sales of smart home hardware and will provide continued support and services for Roku Smart Home products.”
Inventory Clearance and Retailer Pullback
The withdrawal from the smart home sector is already visible in retail channels. Only two devices remain in stock on Roku’s official web store: the Roku Indoor Camera 360° and the Video Doorbell & Chime. Other items, including smart light strips, bulbs, wireless video doorbells, additional cameras, smart plugs, and the home monitoring system, are listed as out of stock.
Third-party retailers are also clearing out inventory. Lowpass noted that many stores no longer carry these devices. Amazon currently offers only refurbished models of Roku smart home products. This retreat marks a gradual shift for the company, which stopped mentioning smart home devices in its earnings reports earlier this year.
Financial Pressures Drive Strategic Pivot
The decision to exit the smart home market comes amid financial challenges in the hardware division. Earlier this month, Roku released its final earnings report before fully joining Fox. The report showed that while device revenue grew by 33 percent year-over-year in the third quarter, hardware losses more than doubled. Losses rose from $22.9 million to $48.6 million during the same period.
Roku attributed these increased losses largely to rising costs for memory components. The company clarified that its device revenue figures include only its own players and TVs, excluding Roku-branded sets manufactured by other companies. Despite the hardware losses, the company stated that its own TVs exceeded expectations last quarter.
Roku initially entered the smart home market in 2022 by selling rebadged versions of Wyze products. It began releasing its own branded smart home hardware last year. The company has since introduced its first OLED sets, signaling a continued emphasis on its primary streaming and display business rather than peripheral smart home gadgets.
Source: Engadget
