Apple is reassessing its strategy for Apple TV+ after reportedly investing around $20 billion in original content, much of which hasn’t gained significant traction. According to Bloomberg, executives at Apple, including Eddy Cue, have been discussing ways to reduce spending with studio heads Zack Van Amburg and Jamie Erlicht. They have expressed a desire to move away from the perception that Apple is the largest spender in the streaming industry.
The company has made substantial investments, such as $250 million on the miniseries “Masters of Air,” which debuted this year but received little attention. Additionally, Apple has spent over $500 million on films from renowned directors like Martin Scorsese and Ridley Scott.
Despite these heavy investments, Apple TV+ holds only 0.2% of TV viewership in the United States, attracting fewer viewers in a month than Netflix sees in just 24 hours. The platform has also faced challenges in growing its subscriber base.
Although Apple is not overly concerned about the platform’s performance—as streaming is not central to its business model—the company appears to be shifting its approach and is less inclined to renew shows for third seasons, as indicated by recent data. Notably, Apple TV+ is currently the only major streaming service that does not offer an ad-supported tier, although this may change following the hiring of Joseph Cady, an advertising executive from NBCUniversal, earlier this year.