Apple is reassessing its strategy for Apple TV+ after reportedly investing around $20 billion in original content that has gained little attention from audiences. According to Bloomberg, Apple executives, including Eddy Cue, have been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about reducing production budgets.
The platform has been known for its significant expenditures, including $250 million on the miniseries “Masters of Air,” which launched this year but did not generate much viewer interest. Additionally, Apple has spent over $500 million on films by renowned directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite these investments, Apple TV+ currently holds only 0.2% of TV viewership in the United States, attracting fewer views in a month than Netflix does in just one day. The service has also encountered challenges in boosting its subscriber numbers.
While Apple does not appear overly concerned about its streaming service, as it is not central to its business model, the trend of unbridled spending may be coming to an end. Indications of this shift include hesitation to renew shows for a third season. Furthermore, Apple TV+ remains the only major streaming platform without an advertising tier, although this may change following the hiring of Joseph Cady, a former ad executive from NBCUniversal, earlier this year.