Apple is reportedly reassessing its strategy for Apple TV+ after investing an astonishing $20 billion in original content. According to Bloomberg, Apple executive Eddy Cue has been in discussions with the streaming service’s studio heads, Zack Van Amburg and Jamie Erlicht, about managing production budgets more effectively. The aim is to shift away from the platform’s reputation as the highest spender in the industry.
The tech giant has made significant investments in various projects, including $250 million for the miniseries “Masters of Air,” which has not gained much traction since its release. Additionally, it has spent over $500 million on films by renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite the substantial financial commitments, Apple TV+ holds a mere 0.2% of television viewership in the United States, receiving significantly fewer views in a month compared to Netflix’s daily figures. The service has also faced challenges in growing its subscriber base.
While Apple doesn’t prioritize streaming within its overall business model, the company seems to be indicating a shift away from unrestrained spending. This change could be highlighted by its reluctance to renew shows for third seasons.
Notably, Apple TV+ is currently the only major streaming service without an advertising tier, although this may change following the recent hire of ad executive Joseph Cady from NBCUniversal.