Today Roku announced that it has $487 million in cash at the failed Silicon Valley Bank. Earlier today, the Silicon Valley Bank was seized by the federal government.
The Federal Deposit Insurance Corp only protects $250,000 of deposits. Beyond that, Roku’s money is in danger of being lost. This works out to be about 26% of Roku’s cash reserves.
Roku did say that this will not affect its operations and that Roku is still able to continue.
“At this time, the Company does not know to what extent the Company will be able to recover its cash on deposit at SVB,” Roku warned investors. Roku did say the cash they have “will be sufficient to meet its working capital, capital expenditures, and material cash requirements from known contractual obligations for the next twelve months and beyond.”
Roblox Vimeo and many other companies all have found themselves unable to access the cash they have put into the Silicon Valley Bank. FuboTV announced today that it doesn’t have any bank accounts there.
SVB was America’s 6th-largest bank before it was shut down today.