Apple is re-evaluating its strategy for Apple TV+ after spending approximately $20 billion on original content, much of which remains under the radar of viewers. According to Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about reducing budgets and changing the platform’s image of being the largest spender in the industry.
The company has made significant investments in projects, including $250 million for the miniseries “Masters of Air,” which has not garnered much attention. Additionally, it has invested over $500 million in films from renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite its hefty expenditures, Apple TV+ commands only 0.2% of television viewership in the United States, struggling to attract audience numbers compared to competitors like Netflix, which can accumulate more viewers in a single day than Apple does in an entire month. The platform has also faced challenges in growing its subscriber base.
Although streaming is not central to Apple’s broader business model, the company’s extravagant spending appears to be declining. This shift is evident in its reluctance to renew shows for third seasons. Furthermore, Apple TV+ remains the only significant streaming service without an ad-supported tier, a situation likely to change following the hiring of ad executive Joseph Cady from NBCUniversal earlier this year.