Apple is reevaluating its approach to original content for Apple TV+ after spending an enormous $20 billion on shows and movies, many of which have gone unnoticed by audiences.
According to reports, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht to bring budgets under control as the platform aims to move away from its status as the industry’s largest spender.
The company has invested significantly in projects, such as the $250 million miniseries “Masters of Air,” which had a lackluster response upon its release. In addition, Apple TV+ has reportedly spent over $500 million on films from acclaimed directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
While Apple has poured money into content creation, it currently holds just 0.2% of the TV viewership market in the United States, receiving fewer views in an entire month than Netflix generates in just one day. The platform has also faced challenges in growing its subscriber base.
Despite these struggles, the situation does not seem to alarm Apple, as streaming services are not the main focus of the company’s business. Still, signs indicate that its era of unrestricted budget spending is coming to an end, especially as it has been hesitant to renew shows for third seasons.
Additionally, Apple TV+ remains the only major streaming service without an advertising tier, a situation that may soon change following the hiring of ad executive Joseph Cady from NBCUniversal earlier this year.