Apple is re-evaluating its spending on original programming for Apple TV+, having reportedly invested around $20 billion in content that many viewers may not be familiar with. According to Bloomberg, Apple executive Eddy Cue has been engaging with studio heads Zack Van Amburg and Jamie Erlicht to explore strategies for reducing budgets and shifting away from its image as the most extravagant spender in the industry.
The company has committed significant resources to high-profile projects, including $250 million for the miniseries “Masters of Air,” which received little attention upon its release. Additionally, Apple has invested over $500 million in films from notable directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this substantial expenditure, Apple TV+ accounts for only 0.2% of television viewership in the United States, attracting fewer viewers in a month than Netflix does in just 24 hours. The service has also faced challenges in growing its subscriber base.
While Apple has not expressed significant concern about the streaming service’s difficulties—partly because streaming is not central to its business—it appears to be moving away from unrestricted spending. This shift is evident in its hesitance to renew shows for third seasons, as reported by Bloomberg.
Notably, Apple TV+ is currently the only major streaming service that does not offer an ad-supported tier, but this may change following the hiring of advertising executive Joseph Cady from NBCUniversal earlier this year.