Fox's $22 Billion Roku Deal Could Make It the Third-Largest U.S. Streaming Service

Since Netflix has dominated the streaming wars for years, rival media companies have struggled to compete against its massive footprint. However, Fox's proposed acquisition of Roku could see the media conglomerate surpass Netflix in a critical metric poised to have a massive impact on the industry's balance of power.

The Metric That Could Put Fox Ahead of Netflix

On June 15, 2026, Fox Corporation announced that it had reached a deal to acquire Roku, Inc., which requires necessary approvals before it can be finalized. While the announcement featured a lot of celebratory language about how great this deal is expected to be for the combined company, one aspect of the statement stood out. It noted that "the combined company will become the third-largest player in U.S. television by share of viewing."

Based on recent figures released as part of Nielsen's The Media Distributor Gauge, which solely focuses on U.S. viewers, the statement is factual. As a May 2026 article from The Wrap about the latest numbers noted, YouTube/Alphabet Inc. was in first place with a 13.5% U.S. TV viewer share, followed by Disney with 10.5%. The same report stated that Fox Corporation, which includes Tubi, stood at 7.2%, and Roku came in at 3%.

If the merger goes through as planned, the combination of Fox and Roku would put the combined company at 10.2%. However, Fox Corporation CEO Lachlan Murdoch stated during an investor call that the platforms share some of the same viewers. "So, if you look at the Tubi and the Roku Channel together, they are incredibly complementary services. They – there's about a third overlap between the audience, between the two of them, so that they're not identical audiences." Accounting for that overlap would shrink the percentage of viewers Roku would add from 3% to roughly 2%. Even in that case, the combined company would reach roughly 9.2%, which still puts it at third place.

Whether using 9.2%, 10.2%, or something in between, the combined entity could still significantly surpass Netflix, which had an 8.2% share, according to The Wrap. The reason why the lead isn't guaranteed is that the percentages can fluctuate from month to month, allowing Netflix to surge or Fox and Roku's percentages to drop enough to change the dynamic.

The Billions in Ad Spend That Make This Deal Matter So Much

Advertisers have noted that streaming services like Netflix, Roku, and Tubi are becoming an ever-larger part of people's viewing habits, and they are spending their money accordingly. PR Newswire reported in May 2026 that spending on U.S. digital video ads would surpass an estimated $80 billion in 2026, according to the Interactive Advertising Bureau.

With Netflix increasingly embracing ads while The Roku Channel and Tubi are both financed by ads, they are all jockeying for their piece of that pie. If Fox can go to advertisers and offer them deals across its streaming and traditional viewing channels, the company could have a massive competitive advantage over Netflix.

Next: Roku Just Quietly Added 34 Free Channels for Customers

This story was originally published by Men's Journal on Jun 22, 2026, where it first appeared in the News section. Add Men's Journal as a Preferred Source by clicking here.

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This story was originally published June 22, 2026 at 11:32 AM.