Apple is reportedly reassessing its spending on original content for Apple TV+ after investing a staggering $20 billion on shows and movies, many of which are not widely recognized. Executives at Apple, including Eddy Cue, have been in discussions with the heads of Apple TV+’s studios about controlling budgets and moving away from its image as the highest spender in the industry.
The company has made significant investments in productions, such as the $250 million miniseries “Masters of Air,” which has not garnered significant viewership. Additionally, Apple has invested over $500 million in films from renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite its hefty financial commitments, Apple TV+ holds a mere 0.2% of U.S. TV viewership, falling short compared to Netflix, which can achieve more views in a single day than Apple does in an entire month. The platform has also faced challenges in growing its subscriber base.
Although these issues do not seem to pose much concern to Apple, as streaming is not a core part of its business model, it appears that the era of unrestricted spending is coming to an end. This shift is apparent in the company’s hesitation to renew shows for additional seasons. Furthermore, Apple TV+ remains the last major streaming service without an ad-supported tier, a situation that may change following the hiring of Joseph Cady, a former ad executive from NBCUniversal.