Sonos, the renowned audio company, is rumored to be partnering with advertising behemoth The Trade Desk for its long-awaited video streaming device. This partnership, if confirmed, could be a game-changer for Sonos, potentially solving a number of challenges it has faced in its attempt to enter the streaming video market.
Sources close to the matter, cited in Janko Roettgers’ Lowpass newsletter, reveal the details of this potential collaboration. The Trade Desk, valued at over $50 billion, boasts a strong reputation as an omnichannel advertising platform built for the open internet. Its expertise in the realm of streaming media could provide Sonos with the necessary infrastructure and relationships to launch a competitive streaming device.
Sonos has been working on its own smart TV operating system since 2019, hoping to challenge the dominance of players like Roku, Amazon, and Google. However, this ambitious project has been met with challenges, prompting Sonos to explore alternative solutions. The company has faced considerable criticism for its recent software update, which resulted in a less than ideal user experience. This has led to a significant investment in fixing the issues, further diverting resources from other projects.
A partnership with The Trade Desk could offer Sonos a pre-built platform, saving them valuable time and resources. The Trade Desk already boasts relationships with major streaming services like Netflix, Disney+, Amazon Prime Video, and HBO, eliminating the need for Sonos to navigate complex licensing agreements. This move could streamline the entire process, allowing Sonos to focus on refining the user experience and delivering a seamless streaming experience.
The Trade Desk’s existing advertising network could also provide Sonos with valuable insights into audience demographics and preferences, enabling them to tailor content recommendations and optimize their platform for user engagement. This partnership could be a win-win situation, allowing both companies to leverage their strengths and expand their reach in the competitive streaming landscape.
