Apple is reportedly reassessing its spending on original content for Apple TV+, having invested approximately $20 billion in shows and movies that have often gone unnoticed by audiences. This move comes in light of internal discussions among Apple executives, including Eddy Cue, who has met with studio leaders Zack Van Amburg and Jamie Erlicht about curtailing budgets.
The tech giant has previously made substantial financial commitments, such as $250 million for the miniseries “Masters of Air,” which received little attention upon its release this year. Additionally, it has spent over $500 million on films from renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this significant investment, Apple TV+ accounts for only 0.2% of television viewership in the United States, attracting fewer viewers in a month than Netflix does in just 24 hours. The platform has also faced challenges in growing its subscriber base.
While Apple seems untroubled by the performance of its streaming service, as it is not a primary focus of the company’s business, the era of unchecked spending may soon be coming to an end. This shift is indicated by the company’s hesitance to renew shows for third seasons.
Additionally, Apple TV+ remains the only major streaming service without an ad-supported tier, a situation that may soon change following the appointment of Joseph Cady, an advertising executive from NBCUniversal, earlier this year.