Roku raises US streaming device prices by up to 60% as memory shortage hits cheap hardware

Roku has raised prices across its entire US streaming hardware lineup by $10 to $50 per device, with increases as steep as 60% on its most popular model. The Streaming Stick 4K climbed from $50 to $80, the Roku Ultra and Streambar SE both rose from $100 to $150, the entry-level Streaming Stick went from $30 to $40, and the Streaming Stick Plus rose from $40 to $60.
Roku has not issued a public statement about the increases, but a company executive told The Desk that shortages in memory and other components caused by the ongoing AI boom were responsible. The products remain listed at their previous prices on Roku's US website under a "sale" label, though there is no indication how long that pricing will hold. International pricing on Roku's UK and other regional sites has not changed yet, but increases there appear likely to follow.
The cheapest devices are the least able to absorb the hit
The increases are notable because streaming devices sit at the low end of consumer electronics, where component cost changes are hardest to absorb. A Roku Streaming Stick 4K uses far less memory than a phone or laptop, but even a small amount of DRAM now costs a multiple of what it did a year ago — and for a $50 product operating on thin margins, a doubling in component costs threatens the entire business model.
Roku is not alone. Apple discontinued its $599 Mac Mini earlier this year after DRAM costs made the price point unsustainable, and Samsung, Google, and Qualcomm have all raised prices or warned customers of coming increases in recent weeks. The same memory reallocation squeezing budget smartphones is now reaching streaming hardware, a category whose entire value proposition has historically depended on keeping the price of entry under $50.
Why memory got this expensive
Chipmakers have been prioritizing production of high-bandwidth memory (HBM) for AI data center servers over the commodity DRAM used in consumer electronics, tightening supply across the entire memory market. That reallocation is compounded by a pending DRAM price-fixing lawsuit against Samsung, SK Hynix, and Micron — who together control roughly 90% of the global DRAM market — alleging the companies used the shift toward HBM production as cover to curtail supply of older DDR3 and DDR4 modules and drive up prices across the board.
What this means for consumers
Roku controls roughly 28% of the US connected TV platform market, according to Parks Associates, and its devices are used by more than 100 million households worldwide. Fox agreed to acquire Roku for $22 billion in June, in a deal expected to close in the first half of 2027 pending regulatory approval — meaning the price increases arrive as the company heads toward new ownership. Industry analysts project the memory shortage will persist well into 2027 as chipmakers continue prioritizing AI server memory over the commodity DRAM that goes into everything else, as first reported by The Next Web.
Originally reported by The Next Web. Read the original article for additional details.
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