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Roku Acquired Danish Multi-Room Audio Startup for $3.5 Million (EXCLUSIVE)

The evidence that Roku is working on a smart speaker product is mounting: The streaming device maker acquired Denmark-based multi-room audio startup Dynastrom ApS in September for $3.5 million. The two co-founders of the startup received an additional 108,332 Roku shares as part of the acquisition agreement.

Roku confirmed the acquisition Friday morning, sending Variety the following statement: “We are always looking to expand our engineering team, and the addition of Dynastrom allows us to scale the team further. They will continue operations in Denmark as a subsidiary of Roku Inc. We are not disclosing any additional details related to the transaction.”

The acquisition was first disclosed in a regulatory filing the company made Thursday, which didn’t mention the company by name, and simply stated that the goal of the acquisition was to “enhance the company’s player product offering.” However, a brief LinkedIn search reveals that a number of employees from Dynastrom ApS, including its CEO and CTO, joined Roku in September.

“Dynastrom supplies a software solution for multi-room audio experiences working flawlessly over standard WiFi,” according to the company’s LinkedIn page. A video showing off the company’s work shows that it was essentially working on Sonos-like multi-room audio capabilities for audio hardware:

Variety was first to report in September that Roku had begun to assemble a team specialized on far-field voice control, which suggests that the company is working on an Amazon Echo-like product. Job postings also hinted at plans to build “a center of audio excellence” within the company.

Roku didn’t comment on any plans for audio products at the time. However, the company’s CFO, Steve Louden, told investors during the company’s first-ever earnings call Wednesday that Roku was spending heavily on the next big thing: “We are investing significantly into a massive opportunity,” he said.

Update: 11/10: This post was updated with a Roku statement confirming the acquisition.

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