The Fox Roku deal is facing a new obstacle. The Justice Department sent Fox and Roku a “second request” on Tuesday, asking both companies to hand over more data and documents as it takes a closer look at the proposed $22 billion acquisition. Semafor was first to report the investigation.
A second request is a fairly standard step in a major antitrust review, but it also signals that the DOJ has more questions than it could answer from the companies’ initial filings. While it doesn’t mean the DOJ is preparing to block the Fox Roku deal, it does indicate that regulators want a much closer look at how the transaction could affect competition and consumers before deciding whether to clear it.
Why Regulators Are Scrutinizing the Fox Roku Deal
There is plenty for the DOJ to examine, because this is believed to be more than just a typical media acquisition.
Fox owns a huge collection of news, sports, and entertainment content, as well as Tubi, its free, ad-supported streaming service. Roku, meanwhile, operates one of the biggest platforms sitting between viewers and that content. Its operating system is built into millions of TVs and streaming devices, giving the company significant influence over how consumers discover and watch streaming services.
That raises obvious questions for Roku’s competitors. Would a Fox-owned Roku give Fox’s services more prominent placement? Would Fox use Roku’s data to strengthen its advertising business? And would rival streaming services be pushed lower on the home screen, or otherwise receive less favorable treatment?
Fox CEO Lachlan Murdoch has tried to reassure competitors, saying he expects the two businesses to operate separately.
A Test of How the DOJ Handles Major Mergers
The investigation also comes as the DOJ has faced criticism over how it handles major mergers, including questions about political influence.
For instance, Paramount’s acquisition of Warner Bros. Discovery sparked criticism because CEO David Ellison’s father, billionaire Oracle co-founder Larry Ellison, has close ties to President Trump. Critics argued that the deal’s approval has raised questions about political favoritism.
How the DOJ handles the Fox Roku deal could be an important test of how closely it reviews politically sensitive mergers. Taking a closer look at Fox and Roku could help show that the DOJ isn’t giving politically connected companies a free pass. That’s especially notable given the Murdochs’ ties to President Trump and the DOJ’s scrutiny over other media deals involving Trump allies.
What the Second Request Means for the Timeline
A second request does not automatically derail a transaction, but it does extend the review and adds uncertainty. Fox and Roku must now compile and submit the additional documents the DOJ has requested, a process that can take weeks or even months.
The Fox Roku deal is expected to close sometime in the first half of 2027, though that timeline could shift depending on how the review unfolds.
What’s at Stake for the Streaming Industry
The outcome of this review could have ripple effects across the streaming landscape. Roku occupies a critical position as a gateway to streaming content, and combining it with Fox’s content library and advertising business would create a powerful player in the connected TV space.
Competing streaming services, device makers, and advertisers will all be watching to see what conditions, if any, the DOJ places on the deal. Possible outcomes range from clearance with behavioral remedies to a longer, more difficult path for the acquisition.
While second requests are routine in large mergers, this development shows the DOJ has substantive questions about the Fox Roku deal and its effect on competition. The investigation will test how regulators approach media consolidation at a time of heightened political scrutiny, and the result could reshape the competitive dynamics of streaming.
