Roku is officially exiting the smart home market after a four-year run, choosing to wind down hardware sales and refocus its operations entirely on its core streaming business. Freelance journalist Janko Roettgers first reported the development in his Lowpass newsletter, citing a direct confirmation from a Roku spokesperson. While new hardware sales are coming to a permanent end, the company has stated that it will continue providing ongoing support for existing products and their associated services. Most of the smart home inventory listed on the official company website is currently sold out, and retail channels like Amazon and Home Depot have already seen dwindling or disappearing stock.
The company originally entered the smart home category back in 2022 with a lineup of budget-friendly products that all retailed for under $100. The initial hardware launch featured devices such as the Roku Indoor Camera SE, which was a wired security camera co-developed with Wyze. Alongside the wired indoor camera, the initial portfolio included a wireless doorbell, numerous indoor and outdoor cameras, smart bulbs, light strips, and smart plugs. Many of these first-generation products were rebadged versions of pre-existing devices currently available on the market.
Key takeaways
- Roku is shutting down its smart home business after four years of operations.
- The company plans to refocus entirely on being the top streaming platform.
- Existing smart home products and services will continue to receive support from Roku.
- Most smart home hardware on Roku's official website is now marked as sold out.
Evolution of the Hardware Lineup
Following the initial wave of rebadged accessories, Roku later introduced hardware that it claimed was developed entirely in-house. This later expansion included the $40 Roku Battery Camera and the $60 Roku Battery Camera Plus, both of which gained attention for power cells that the company stated could last up to two years on a single charge before needing a recharge. These battery-powered outdoor cameras were even previewed by Gizmodo last year. The overarching move into budget smart home technology closely mirrored Roku's broader corporate business model of selling inexpensive hardware while supplementing its primary revenue streams through advertisements and digital subscriptions.
Before the wind-down was officially confirmed, signs of a retreat were already visible. Retail availability at major outlets like Amazon and Home Depot had begun drying up. Furthermore, the strategic shift comes following a recent sale where Fox acquired Roku, an acquisition that notably cost Roku users one of their favorite built-in screen savers.
Implications for the Budget Market
Roku's departure from the sector leaves one less option for consumers looking for low-cost smart home and security camera alternatives. The gap left behind is particularly noticeable in the budget security camera space, which is currently populated by brands like Wyze and Blink. While these competing brands offer very cheap hardware solutions with local storage options, they also come with distinct drawbacks for privacy-conscious shoppers. Wyze devices feature microSD card support, making them appealing on the surface, but the company has suffered through numerous high-profile privacy and security issues. For instance, in 2024, users discovered they could accidentally view other people's live camera feeds, and Wyze has declined to commit fully to end-to-end encryption. Meanwhile, Amazon-owned Blink relies heavily on paid subscription models for full functionality. Although Roku's budget cameras were not necessarily considered top-tier alternative choices for every consumer, their complete exit removes another viable entry-level option from the broader smart home ecosystem.
Comments