Apple is re-evaluating its strategy for Apple TV+ after investing approximately $20 billion in original content, much of which has gone unnoticed by viewers.
According to reports, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht to tighten budgetary constraints. The aim is to shift away from the perception of being the highest spender in the industry.
The tech giant has made significant financial commitments for various productions, including $250 million for the miniseries “Masters of Air,” which premiered this year but failed to gain significant traction. Additionally, Apple has invested over $500 million in films from renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite these substantial expenditures, Apple TV+ accounts for only 0.2% of television viewership in the United States, attracting fewer viewers in a month than Netflix does in a single day. The service has also faced challenges in growing its subscriber base.
Although the streaming sector is not a primary focus for Apple, the company may soon curtail its extensive spending, as evidenced by its reluctance to renew shows for third seasons. Furthermore, Apple TV+ is currently the only leading streaming service without an advertising tier, a situation anticipated to change following the hiring of advertising executive Joseph Cady from NBCUniversal earlier this year.