Apple is reassessing its spending on original content for Apple TV+, having invested an astonishing $20 billion in shows and films, many of which are relatively unknown. Reports indicate that Apple executive Eddy Cue has been in discussions with Apple TV+ studio heads Zack Van Amburg and Jamie Erlicht about constraining budgets. These executives have been communicating that the platform aims to distance itself from its reputation as the largest spender in the industry.
The company has made significant financial commitments for projects, including $250 million for the miniseries “Masters of Air,” which launched this year with minimal impact. Additionally, it has invested over $500 million in films by renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this massive expenditure, Apple TV+ commands only 0.2% of the television viewership market in the United States, drawing fewer monthly views than Netflix does in just 24 hours. The platform has also encountered challenges in growing its subscriber base.
While Apple does not appear overly concerned about these challenges—streaming is not a primary focus of its business—the company’s era of boundless spending may be coming to an end. This shift is reflected in its hesitance to renew shows for third seasons, as suggested by Bloomberg data.
Notably, Apple TV+ remains the only significant streaming service without an advertising-supported pricing tier. This might soon change, following the hiring of ad executive Joseph Cady from NBCUniversal earlier this year.