Apple is reportedly rethinking its strategy for Apple TV+ after spending an astonishing $20 billion on original programming, much of which remains largely unknown to audiences. Executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht to potentially trim production budgets and alter the streaming service’s reputation as the industry’s biggest spender.
Notably, Apple invested $250 million in the miniseries “Masters of Air,” which premiered this year but failed to attract significant viewership. In addition, the company has committed over $500 million to films directed by prominent filmmakers such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this considerable financial outlay, Apple TV+ has captured only 0.2% of U.S. TV viewership, receiving fewer views in a month than Netflix achieves in just a single day. The platform has faced challenges in growing its subscriber base.
While Apple has not been overly concerned about the streaming service’s struggles—given that streaming is not central to its business model—the company’s era of unrestricted spending may soon come to an end. Signs of this shift include a hesitance to renew shows for third seasons.
Apple TV+ currently stands as the only major streaming service without an advertising tier, a situation that may soon change following the hiring of Joseph Cady, a former advertising executive from NBCUniversal, earlier this year.