Apple is reassessing its spending on original content for Apple TV+, having reportedly invested around $20 billion in shows and movies that have largely gone unnoticed by viewers. According to Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht regarding budget cuts and shifting strategies to improve the platform’s image, moving away from its status as the highest spender in the industry.
The company has made substantial financial commitments for productions, including a notable $250 million for the miniseries “Masters of Air,” which premiered this year but failed to generate significant interest. Additionally, over $500 million has been allocated to films from prominent directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this extensive spending, Apple TV+ continues to capture only 0.2% of the TV viewership in the United States, garnering fewer views in a month than Netflix achieves in a single day. The platform also faces challenges in growing its subscriber base.
While Apple’s streaming service is not central to its primary business, the company appears to be signaling a shift away from unlimited budgets. This is evident in its hesitation to renew shows for a third season. Notably, Apple TV+ remains the last major streaming service without an advertising tier, a situation likely to change following the appointment of ad executive Joseph Cady from NBCUniversal earlier this year.