Apple is reportedly rethinking its approach to Apple TV+ after investing an astounding $20 billion in original content, much of which has gone unnoticed by audiences.
According to Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about controlling budget expenditures. The leadership team has expressed the need for the streaming service to move away from its reputation as the biggest spender in the industry.
The company has disbursed significant funds for various productions, including $250 million for the miniseries “Masters of Air,” which was released recently but failed to make a significant impact. In addition, Apple has spent over $500 million on films from prominent directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this extensive investment, Apple TV+ has only captured 0.2% of total U.S. TV viewership, registering less engagement in a month than Netflix accumulates in just 24 hours. The service has also encountered difficulties in growing its subscriber base.
While Apple does not prioritize streaming as a core aspect of its business, the company’s strategy of unlimited financial investment appears to be shifting, as evidenced by its hesitation to renew shows for third seasons.
Currently, Apple TV+ is the only major streaming platform without an advertising tier, but changes may be on the horizon following the appointment of Joseph Cady, a former advertising executive at NBCUniversal, earlier this year.