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Technology Stocks : Roku
ROKU 106.13+6.1%Oct 31 9:30 AM EST

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From: zax2/10/2020 3:54:58 PM
   of 94
 
Roku, Inc. (ROKU)
132.05 +7.80 (+6.28%)


TCL came out of nowhere to capture the US TV market. Up next: cheap phones

TCL's Roku partnership helped the company grow fast, but its margins remain thin.

After capturing the U.S. television market with aggressively priced Roku TVs, China's TCL wants to replicate that success with inexpensive phones, IoT devices and connected appliances — and in the process, turn its still relatively unknown brand into a household name.

In other words: TCL wants to be the next Samsung.

It won't be easy. The phone market, TCL's next target, is firmly dominated by Apple and Samsung and hard to penetrate for newcomers. The company also faces headwinds from the Trump administration's ongoing trade war with China, as well as political resistance to fellow Chinese tech companies like Huawei. And while TCL's partnership with Roku has been key to building its U.S. TV business, it has also forced the company to operate with razor-thin margins as Roku cashes in on a rapidly growing advertising business that's been a newfound source of revenue for other TV manufacturers.

... protocol.com
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