Roku Loses $500-M Deposits In SVB

Karissa Bell, senior editor at EnGadget, has reported that more than 25% of Roku’s cash has vanished with the sudden collapse of Silicon Valley Bank (SVB.) The streaming company had $487 million in SVB, an SEC filing showed.

Photo Insert: "The Company’s deposits with SVB are largely uninsured,” Roku wrote in its filing.

The future of those funds is now uncertain as regulators have taken over the financial institution amid the second-largest bank collapse in US history.

“The Company’s deposits with SVB are largely uninsured,” Roku wrote in its filing. “At this time, the Company does not know to what extent the Company will be able to recover its cash on deposit at SVB.”

In a statement on Friday, the Federal Deposit Insurance Corp. (FDIC) said that it will pay “uninsured depositors an advance dividend within the next week” and that “uninsured depositors will receive a receivership certificate for the remaining amount of their uninsured funds.”

But there’s still a lot of uncertainty about how long that process will take to play out, and how much of their uninsured funds companies will ultimately be able to recover.

However, Roku’s situation is, at least for now, a lot less dire than many of the smaller startups that relied on SVB, some of which are now unable to pay their bills or their employees.

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