Roku has long been a pioneer of the cord-cutting revolution thanks to its streaming sticks, smart TVs, and the ever-popular Roku Channel. Today, it’s started to dip its toes into paid streaming with Howdy, a new $3/month subscription video-on-demand (SVOD) service launching in the US (Source: Roku).
Big steps, small price
A well-known name moves in a slightly new direction
Roku’s legacy has always been hardware and platform innovation (specifically, with the goal of helping users ditch cable). Historically, it’s been monetized via ads and channel subscriptions through The Roku Channel and its FAST/advertising business. But Howdy marks a bold pivot: this is Roku’s first in-house premium streaming offering, available in an ad-free format at a price that undercuts most mainstream competitors.
Priced at just $3 per month (and that’s the actual base price, not a promotion), Howdy delivers roughly 10,000 hours of entertainment from partners Lionsgate, Warner Bros. Discovery, FilmRise, as well as select Roku Originals, from day one. That library includes fan favorites like Mad Max: Fury Road, The Blind Side, Weeds, Kids in the Hall, plus a grab-bag of rom-coms, classic dramas, and ’90s comedies intended to appeal to a broad audience.
Anthony Wood, Roku founder and CEO, frames the positioning in a surprisingly friendly way for a new entrant in a cutthroat digital industry. According to Wood, “Priced at less than a cup of coffee, Howdy is ad-free and designed to complement, not compete with, premium services.” He emphasizes the service is a no-fuss, budget-friendly option for viewers who want unplugged entertainment on their own terms.
Howdy offers four clear perks: low fixed price, no ads, a diverse catalog, and the ability to cancel anytime, with no contracts, hassles, or hidden fees. Roku positions it as filling a niche between free or low-cost ad-supported content and higher-tier SVODs with big price tags.
On the promotion front, Roku is staging a colorful takeover in Times Square: branded billboards running from August 5 through August 31 greeting passersby with a warm “howdy” and showcasing the launch slate of titles.
Howdy rolls out first on Roku devices — the familiar sticks, smart TVs, and Roku app — but mobile and third-party platform access are on Roku’s roadmap. According to the company, this launch is part of a broader strategic push to monetize its platform more aggressively, expanding both third-party subscriptions (e.g. The Roku Channel add-ons or Frndly TV) and first-party offerings like Howdy. Roku’s platform reaches more than 125 million US viewers daily, giving it scale from day one.
For cord-cutters and budget-conscious viewers, Howdy offers a smart, lightweight alternative: an easy-to-cancel, no-ads service with recognizable titles and low entry cost. It’s not chasing prestige TV or Netflix originals, but that’s the point. Roku’s casual affordability is aimed at value seekers who want simplicity and familiarity.
In sum, Roku’s new step from hardware and free ad-supported video into its own paid streaming arena is subtle but strategic. Howdy may be low-budget, but for Roku — and subscribers looking for TV without the friction — it could be the perfect move.
