Apple is reassessing its approach to original content for Apple TV+ after reportedly spending around $20 billion on shows and movies that have gone largely unnoticed. According to Bloomberg, Apple executive Eddy Cue has been discussing budget reductions with studio chiefs Zack Van Amburg and Jamie Erlicht, as they seek to change the streamer’s image of being the industry’s largest spender.
The company has made significant financial commitments, such as $250 million for the miniseries “Masters of Air,” which premiered this year but failed to resonate with audiences. Apple has also invested over $500 million in films from notable directors like Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite this enormous investment, Apple TV+ claims only 0.2% of television viewership in the United States, receiving fewer views in a month than Netflix does in just one day. The service has also faced challenges in growing its subscriber base.
While the tech giant does not regard streaming as a central part of its business, the era of extensive spending appears to be winding down. This shift is evident in Apple’s hesitance to renew shows for third seasons, as indicated by Bloomberg’s findings.
Additionally, Apple TV+ remains the last major streaming platform without an advertising tier, but this may soon change, especially following the recent hiring of ad executive Joseph Cady from NBCUniversal.