Apple is reevaluating its spending on original content for Apple TV+, having reportedly invested around $20 billion to date. According to Bloomberg, Apple executive Eddy Cue has been in discussions with the heads of Apple TV+ studios, Zack Van Amburg and Jamie Erlicht, about reducing budgets and altering the company’s spending habits.
The streaming platform has made significant financial commitments for various projects, including $250 million for the miniseries “Masters of Air,” which was released this year but failed to attract significant viewership. Additionally, Apple TV+ has spent over $500 million on films directed by industry heavyweights such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this substantial investment, Apple TV+ holds only 0.2% of television viewership in the United States, garnering fewer views in a month than Netflix does in just 24 hours. The service has also faced challenges in growing its subscriber base.
Although the struggles of Apple TV+ do not appear to be a primary concern for the tech giant—given that streaming is not a central part of its business—the company seems to be shifting away from its previously unrestrained spending approach. This trend is underscored by its hesitance to renew shows for third seasons.
Notably, Apple TV+ remains the only major streaming service without an advertising tier, although this may soon change, as the company recently hired Joseph Cady, a former advertising executive from NBCUniversal.