Apple is reevaluating its spending on original programming for Apple TV+, following a staggering expenditure of $20 billion on content that many viewers are unfamiliar with. According to reports, Apple executive Eddy Cue has been in discussions with studio leaders Zack Van Amburg and Jamie Erlicht about cutting budgets and changing the perception that Apple TV+ is the industry’s largest spender.
The company has invested substantial amounts in various projects, including $250 million for the miniseries “Masters of Air,” which failed to gain significant traction upon release. Additionally, over $500 million has been allocated to films from renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite these large investments, Apple TV+ commands only 0.2% of the television viewership in the United States, with its monthly views being dwarfed by Netflix’s daily audience. The platform has also faced challenges in boosting its subscriber base.
Although Apple’s difficulties with Apple TV+ have not raised major concerns within the company—since streaming does not constitute a core business focus—it appears to be moving away from its previously limitless spending approach. This shift is evident in the company’s hesitance to renew shows for a third season.
Notably, Apple TV+ is currently the only major streaming service without an ad-supported tier, a situation that may change following the hiring of ad executive Joseph Cady from NBCUniversal earlier this year.