Apple has recognized that its expenditures on original television shows and movies may be excessive, particularly for content that has not gained significant audience attention.
Reportedly, the tech giant is reassessing its strategy for Apple TV+ after investing approximately $20 billion on original content. Executive Eddy Cue has been in discussions with studio chiefs Zack Van Amburg and Jamie Erlicht to find ways to reduce production budgets. Both Van Amburg and Erlicht are reportedly aiming to alter the platform’s image as the major spender in the industry.
Among its high-profile investments, Apple spent around $250 million on the miniseries “Masters of Air,” which did not achieve noteworthy viewership upon its release this year. Additionally, the company has invested over $500 million in films from renowned directors including Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite such significant financial commitments, Apple TV+ accounts for merely 0.2% of television viewership in the United States, drawing fewer viewers in a month than Netflix attracts in just a single day. The platform has also faced challenges in attracting new subscribers.
While streaming is not a primary focus for Apple, the company appears to be reining in its spending habits. This shift is reflected in its hesitance to renew several shows for additional seasons, according to current data.
Apple TV+ remains the only major streaming service that does not offer an advertising-supported tier. However, changes may be on the horizon following the recent hiring of ad executive Joseph Cady from NBCUniversal.