Apple is reassessing its approach to Apple TV+ after reportedly spending an astonishing $20 billion on original content, much of which has not gained significant attention. According to Bloomberg, executive Eddy Cue has been engaging with studio chiefs Zack Van Amburg and Jamie Erlicht to discuss budget constraints. Both Van Amburg and Erlicht are reportedly eager to change the perception of the streaming service as the largest spender in the industry.
Apple has made substantial investments in various productions, including a hefty $250 million for the miniseries “Masters of Air,” which was released this year but gained little traction. Furthermore, the company has invested over $500 million on films from renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this high spending, Apple TV+ captures only 0.2% of the television viewership in the United States, with its monthly views falling short of Netflix’s viewership in just 24 hours. The service has also struggled to grow its subscriber base.
However, Apple has not shown significant concern regarding these streaming challenges since it does not consider streaming central to its business model. Yet, the era of unrestricted spending appears to be coming to an end, as indicated by the company’s cautiousness in renewing shows for third seasons.
Notably, Apple TV+ is the only major streaming service that does not offer an ad-supported tier. This could change soon, as the company recently hired Joseph Cady, an advertising executive from NBCUniversal.