Apple is reconsidering its hefty investments in original content for Apple TV+, having reportedly spent around $20 billion on programming that has garnered little recognition. The company is reassessing its strategy as executives, including Eddy Cue, meet with studio leaders Zack Van Amburg and Jamie Erlicht to discuss budget cuts. They are aiming to change the perception of the platform, which is known as the industry’s largest spender.
Apple’s spending spree included a $250 million investment for the miniseries “Masters of Air,” which has not made a significant impact since its release. Additionally, over $500 million has been allocated to movies directed by renowned filmmakers like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite the massive outlay, Apple TV+ holds just 0.2% of TV viewership in the United States, generating fewer views in a month than Netflix does in a single day. The platform has also faced challenges in subscriber growth.
While Apple does not prioritize streaming as a core business, it appears to be moving away from unlimited spending, shown by its hesitance to renew shows for third seasons. Furthermore, it remains the only major streaming service lacking an ad-supported tier, a situation likely to change following the hiring of ad executive Joseph Cady from NBCUniversal earlier this year.