Apple is reportedly reassessing its strategy for Apple TV+ after spending about $20 billion on original content, much of which has gone largely unnoticed by viewers. Executives at Apple, including Eddy Cue, have been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about reducing budgets and shifting away from the platform’s image as the industry’s largest spender.
With significant investments in projects like the $250 million miniseries “Masters of Air,” which received a tepid response upon release, and over $500 million spent on films from renowned directors such as Martin Scorsese and Ridley Scott, Apple TV+ still accounts for only 0.2% of television viewership in the U.S. The platform’s audience engagement is notably less than what Netflix achieves within a single day.
Despite these challenges, Apple does not appear overly concerned about the performance of its streaming service, as it is not central to its overall business model. However, signs indicate that the era of unrestricted spending may be coming to an end, particularly as the company shows hesitance to renew shows for third seasons.
Additionally, Apple TV+ is currently the only major streaming service without an advertising tier, but that may soon change, especially after the recent hiring of ad executive Joseph Cady from NBCUniversal.