Apple is reassessing its strategy for Apple TV+ following substantial expenditures on original content, amounting to around $20 billion. According to a report by Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about controlling budgets, as the platform aims to move away from its image as the largest spender in the industry.
The tech giant has invested heavily in various productions, including $250 million on the miniseries “Masters of Air,” which launched this year but garnered little audience interest. It has also spent over $500 million on films directed by prominent filmmakers such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite its extensive financial commitments, Apple TV+ captures only 0.2% of television viewership in the United States, far less than competitors like Netflix, which can achieve more views in just one day than Apple manages in an entire month. Additionally, the platform has encountered challenges in attracting new subscribers.
While Apple does not prioritize streaming as a core business, it seems to be shifting away from unrestricted spending, as indicated by its cautious approach to renewing shows for a third season. Notably, Apple TV+ is the only major streaming service that does not offer an advertisement-supported tier, although this may soon change with the recent hiring of Joseph Cady, an advertising executive from NBCUniversal.