Apple is reassessing its approach to Apple TV+ after spending an astonishing $20 billion on original content, much of which has gone unnoticed by the public. Reports indicate that Apple executive Eddy Cue has been in discussions with the heads of Apple TV+ studios, Zack Van Amburg and Jamie Erlicht, about reducing production budgets. The executives have expressed a desire to change the platform’s perception as the largest spender in the industry.
Apple’s significant investments include $250 million for the miniseries “Masters of Air,” which premiered this year without much success. Additionally, the company has invested over $500 million in films directed by renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite its heavy financial outlay, Apple TV+ holds a mere 0.2% of television viewership in the United States, garnering fewer views in a month than Netflix receives in just 24 hours. The service has also faced challenges in attracting new subscribers.
Although the streaming business does not represent the core focus of Apple’s overall operations, indications are that the era of unrestricted spending is coming to an end. This is reflected in the company’s hesitance to renew shows for a third season, according to Bloomberg data.
Notably, Apple TV+ remains the last significant streaming platform without an ad-supported tier. However, the hiring of Joseph Cady, a former NBCUniversal ad executive, earlier this year suggests that this may soon change.