Roku CEO disparages Apple TV as money-loser for Apple; says it’s essentially just an iPad accessory

“Roku founder and Chief Executive Anthony Wood isn’t worried about streaming-box competition like Apple TV, even if he thinks Apple maybe should be,” Joan E. Solsman reports for CNET.

“‘Apple TV is essentially an accessory for the iPad. They lose money, which is unusual for Apple,’ he said Thursday, speaking at the Recode conference here. ‘If you’re losing money, why would you want to sell more?'” Solsman reports. “He characterized his comments about Apple TV as speculative.”

“Apple’s CEO Tim Cook earlier this month said that Apple TV, between revenue from selling the hardware and money from selling content on it, notched $1 billion in sales in 2013,” Solsman reports. “Roku, however, has maintained that, in the end, bigger technology companies making forays into streaming boxes actually helps Roku to grow. On Thursday, Wood noted that the day Apple launched its $99 box, Roku sales doubled.”

Read more in the full article here.

MacDailyNews Take: “Roku founder and Chief Executive Anthony Wood isn’t worried about streaming-box competition like Apple TV.”

Translation: He’s worried. (Or he’s delusional.)

Related articles:
Apple TV sales topped $1 bilion in 2013, becoming Apple’s fastest growing hardware – February 28, 2014
Tim Cook and Apple TV: A ‘hobby’ no longer – October 7, 2013
Apple TV dominates digital media receiver market with 71% share – May 29, 2013

38 Comments

    1. Sounds like another Ballmer. A delusional ass. Besides, something’s going to break loose with the Apple TV. Be it Comcast, streaming full cable content, who knows? We’ll just have to wait and see what Apple pulls out of their hat. It will rock the industry.

    2. I wonder if Anthony Wood has ever read Mark Twain…

      “It is better to keep your mouth closed and let people think you are a fool than to open it and remove all doubt.” -Mark Twain

    3. Good one.

      Roku may offer more than Apple.
      However, lets all remember, Appel TV came out in 2006 and Roku in 2008.

      Without Apple, Roku had nothing to copy really.
      Big words from Anthony Wood, but we know better, he is trembling in his boots.

    4. So the AppleTV is “just” an accessory for the groundbreaking iPad…that is not much of a criticism. The iPad is great and that makes its accessories great, too.

      By the way, what does that make Roku?? An accessory for…nothing?

  1. If Apple loses money on a $99 Apple TV, it’s a damned wonder how Roku can turn a dime on products at or below those price points.

    I’m sure he’s not entirely wrong about Apple TV helping with their sales. There is always that crowd that at first dismisses a product like the 2nd generation Apple TV, which was shockingly small by the standards of the day it was released . . . . then those same people salivate over a competing brand when it puts out similar hardware. In other words, the Samsung-ish crowd doesn’t know what it wants until six months after Apple releases something . . . and there are millions of these people out there who Cupertino can do no right by (unless you can indirectly determining their future tastes).

    1. Last I checked, people buy content with their Apple TV’s, which makes Apple money with each purchase. I don’t know for sure if Apple actually loses money with each TV unit sold, but that’s not its limit as far as generating revenue.

      Doesn’t Microsoft undersell their game stations a lot more? Like to the tune of a hundred dollars or more? How’s that working for them?

      1. Figure 30% of every purchase made on an Apple TV goes to Apple. Subtract out repair costs (mini-poll: Has anyone ever needed a repair on Apple TV gen 2 or 3?).

        I’d call that a cash cow. Or more like money growing on the Apple TreeVee.

  2. Add this to the litany of stupid CEO comments over the past 7 years, to include “I like our strategy, I like it a lot,” “What do they do about US?”, “PC guys are not going to just figure this out. They’re not going to just walk in,” and “Amateur hour is over” (okay the last one wasn’t a CEO comment, but you get the idea…).

Reader Feedback

This site uses Akismet to reduce spam. Learn how your comment data is processed.