Apple is reassessing its strategy for Apple TV+ after spending around $20 billion on original content, much of which has gone unnoticed by viewers. According to reports, Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht about cutting back on budget allocations for new projects. The leadership is aware that the platform has gained a reputation for being the industry’s largest spender.
The considerable expenditures include $250 million for the miniseries “Masters of Air,” which saw minimal engagement upon its release this year. Additionally, Apple has invested over $500 million into films by renowned directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite significant financial investment, Apple TV+ holds only 0.2% of the total TV viewership in the U.S., accumulating fewer views in a month than Netflix does in just one day. The platform has also encountered challenges in attracting new subscribers.
Although Apple does not prioritize streaming as a core element of its business, it appears to be shifting away from its previous spendthrift approach. Indications of this change include a hesitance to renew shows for a third season. Notably, Apple TV+ remains the last major streaming service without an ad-supported option. This may soon change, however, following the hiring of advertising executive Joseph Cady from NBCUniversal earlier this year.