Apple is reportedly reevaluating its spending on original content for Apple TV+ after investing around $20 billion, as the company acknowledges that many of its shows and movies are not widely recognized. According to Bloomberg, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about controlling production budgets and shifting away from the perception of being the largest spender in the streaming industry.
The tech giant has made significant financial commitments, such as $250 million for the miniseries “Masters of Air,” which prompted little audience engagement upon its release this year. Additionally, Apple has spent over $500 million on films from renowned directors including Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite its extensive investment, Apple TV+ only commands 0.2% of television viewership in the United States, garnering far fewer views in a month than Netflix receives in just 24 hours. The service has also faced challenges in attracting new subscribers.
Although these issues have not caused Apple to panic—since streaming is not a primary focus of its business—the company appears to be easing its unrestricted spending habits. This shift is indicated by its hesitation to renew multiple shows for third seasons, as highlighted by Bloomberg data.
Currently, Apple TV+ is the only major streaming service without an advertising tier, a situation likely to change following the recruitment of Joseph Cady, an advertising executive from NBCUniversal, earlier this year.