Apple is reportedly reassessing its spending strategy for Apple TV+, having invested a staggering $20 billion in original content, much of which remains unfamiliar to audiences. According to Bloomberg, executive Eddy Cue has been conferring with studio heads Zack Van Amburg and Jamie Erlicht to rein in budgets and diminish the platform’s image as the largest spender in the industry.
The company has invested heavily in several high-profile projects, including $250 million for the miniseries “Masters of Air,” which was released this year but failed to generate significant interest. Moreover, Apple has spent over $500 million on films by acclaimed directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this immense financial outlay, Apple TV+ captures only 0.2% of the television viewership in the United States, garnering fewer views in a month than Netflix achieves in just 24 hours. The platform has also faced challenges in growing its subscriber base.
While Apple may not be overly concerned about the streaming service’s struggles—since it is not a primary focus of the company’s business—its era of unchecked spending appears to be coming to an end. This shift is already evident in its hesitation to renew several shows for third seasons, as reported by Bloomberg.
Additionally, Apple TV+ is the only major streaming service without an advertising tier, but this may soon change following the appointment of Joseph Cady, an advertising executive from NBCUniversal, earlier this year.