Apple is reassessing its spending on original content for Apple TV+, having reportedly invested around $20 billion in shows and movies that have not gained significant attention. According to a Bloomberg report, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about reducing budgets. They are working to alter the streaming service’s image as the highest spender in the industry.
The investment includes costly projects like the $250 million miniseries “Masters of Air,” which debuted this year but failed to capture significant viewership. Apple has also spent over $500 million on films from renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this substantial financial outlay, Apple TV+ commands only 0.2% of TV viewership in the United States, attracting far fewer viewers in a month than Netflix does in just a day. Additionally, the service has faced challenges in boosting its subscriber base.
Although Apple’s streaming endeavors are not central to its business model, the trend of unlimited spending appears to be shifting, with indications that the company is hesitant to renew series for third seasons, as reported by Bloomberg. Notably, Apple TV+ is the last major streaming platform without an ad-supported tier, a situation likely to change following the recent hiring of Joseph Cady, a former advertising executive from NBCUniversal.