Apple is reassessing its spending on original content for Apple TV+, having reportedly spent around $20 billion on shows and movies. According to Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about cutting budgets. The goal is to alter the perception of Apple TV+ as the largest investor in the streaming industry.
The company has made significant financial commitments, such as $250 million for the miniseries “Masters of Air,” which failed to gain significant traction upon its release. Additionally, Apple has invested over $500 million on films from notable directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite these large expenditures, Apple TV+ accounts for only 0.2% of television viewership in the U.S., receiving substantially fewer monthly views than Netflix attracts within just 24 hours. The platform has also faced challenges in boosting subscriber numbers.
While Apple does not prioritize streaming as a core element of its business, the era of unrestricted spending may soon come to an end. This shift is reflected in the company’s hesitation to renew shows for third seasons, as reported by Bloomberg. Apple TV+ remains the only major streaming service without an ad-supported tier, but this may soon change following the hiring of Joseph Cady, a former NBCUniversal advertising executive.