Apple is reassessing its approach to Apple TV+ after spending an astonishing $20 billion on original content, many of which have gone largely unnoticed. The company is reportedly engaging in discussions led by executive Eddy Cue with studio heads Zack Van Amburg and Jamie Erlicht regarding budget constraints. They are keen to change the perception of Apple TV+ as the industry’s largest spender.
This spending spree included $250 million for the miniseries “Masters of Air,” which premiered this year but failed to gain significant traction. Additionally, over $500 million was invested in films from renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this major financial commitment, Apple TV+ claims only 0.2% of the TV viewership in the United States, garnering fewer views in a month than Netflix typically receives within a single day. The service has faced challenges in attracting new subscribers, which hasn’t raised major concerns for Apple, as streaming is not central to its overall business model. However, indications suggest that the era of unlimited spending may be coming to an end, seen through the company’s hesitance to renew series for third seasons.
Currently, Apple TV+ stands out as the only major streaming service without an advertisement-supported tier, a situation likely to change with the recent hiring of Joseph Cady, an ad executive from NBCUniversal.