Roku Debuts $2.99-a-Month Ad-Free Video Service Targeting Cost-Weary Users

Roku Inc. introduced a new subscription video service that offers ad-free content to owners of the company’s streaming boxes and Roku TVs for less money than many on-demand streaming competitors.

The new service, branded as Howdy, costs $2.99 a month, Roku said in a statement on Tuesday. The offering gives Roku another revenue stream beyond advertising, which accounts for the bulk of its profits, and low-margin hardware products. Howdy will initially be available directly on Roku devices, and will expand to mobile and other platforms in the near future, the company said.