Apple is reportedly reevaluating its spending on Apple TV+, having invested an astonishing $20 billion on original content. According to Bloomberg, executive Eddy Cue has been consulting with studio heads Zack Van Amburg and Jamie Erlicht about scaling back budgets and shifting the platform’s image as the industry’s largest spender.
Apple’s hefty expenditures include $250 million for the miniseries “Masters of Air,” which did not gain significant traction upon release. Additionally, the company has invested over $500 million in films from renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this massive financial outlay, Apple TV+ holds a mere 0.2% of U.S. TV viewership, garnering less attention in a month than Netflix attracts in just one day. The service has faced challenges in growing its subscriber base.
Although Apple TV+’s performance has not raised major concerns for the tech giant—since streaming is not its primary business focus—the era of boundless spending appears to be coming to an end. This shift is reflected in Apple’s hesitance to renew shows for third seasons. Furthermore, Apple TV+ remains the only significant streaming service without an advertising tier, a situation expected to change after hiring ad executive Joseph Cady from NBCUniversal earlier this year.