Apple’s $20 Billion Gamble: Is Apple TV+ in Trouble?

Apple is recognizing that it has been investing excessively in original TV shows and movies that many viewers are unfamiliar with.

The company is reportedly evaluating a new strategy for Apple TV+ after spending an enormous $20 billion on original content, according to Bloomberg. Apple executive Eddy Cue has been in discussions with studio leaders Zack Van Amburg and Jamie Erlicht to control spending. They have indicated a desire to change the platform’s image as the industry’s largest spender.

Apple’s hefty investments include $250 million for the miniseries “Masters of Air,” which received little attention upon release this year. Additionally, the company has invested over $500 million in films from directors such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.

Despite these significant expenditures, Apple TV+ has managed to capture only 0.2% of US TV viewership, garnering fewer views in a month than Netflix does in just 24 hours. The platform has faced challenges in attracting new subscribers.

While Apple does not seem overly concerned about the streaming service, as it is not central to its primary business, indications are that unrestricted spending may soon come to an end. This shift is already reflected in its hesitation to renew shows for third seasons, as reported by Bloomberg.

Notably, Apple TV+ remains the only major streaming service without an advertising tier, a situation that could change soon after the company brought on Joseph Cady, an advertising executive from NBCUniversal, earlier this year.

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