Apple is reassessing its strategy for Apple TV+ following significant expenditures on original content that have not yielded the desired viewership or subscriber growth. According to reports, Apple has invested approximately $20 billion in shows and movies, yet its streaming service commands only 0.2% of television viewership in the United States—an astonishing figure when compared to the instantaneous popularity of competitors like Netflix.
High-profile investments have included a substantial $250 million for the miniseries “Masters of Air,” which failed to achieve traction upon its release. Additionally, more than $500 million has been allocated to feature films from renowned directors such as Martin Scorsese and Ridley Scott. Despite these substantial investments, Apple TV+ has struggled to attract and retain subscribers, prompting executives like Eddy Cue to meet with studio heads Zack Van Amburg and Jamie Erlicht to discuss ways to curb spending.
The company appears to be pivoting as it aims to shed its image as the biggest spender in the streaming industry. According to reports, it has been hesitant to renew several shows for third seasons, indicating a tightening of budgets. Furthermore, Apple TV+ remains the only significant streaming platform without an advertising tier, a situation that may change soon since the company has recently hired an advertising executive from NBCUniversal.
This strategic shift may signal a new chapter for Apple TV+, where a more sustainable approach to content funding could eventually lead to better engagement and increased viewership over time. With smart adjustments and a focus on quality over quantity, there’s a hopeful path forward for Apple TV+ in the competitive streaming landscape.
In summary, as Apple recalibrates its spending strategy, there lies potential for a more thoughtful curation of content that could resonate better with audiences and drive meaningful subscriber growth.