Apple is recognizing that its spending on TV shows and movies may be excessive, especially given the number of productions that have gone largely unnoticed by viewers.
In light of its $20 billion investment in original content for Apple TV+, the company is considering a shift in strategy. Reports indicate that Apple executive Eddy Cue has been in discussions with studio heads Zack Van Amburg and Jamie Erlicht to manage production budgets more effectively. The goal is to change Apple TV’s image as the largest spender in the industry.
The tech giant’s hefty financial commitments include $250 million for the miniseries “Masters of Air,” which debuted this year but failed to gain significant traction. Furthermore, Apple has invested over $500 million in films directed by prominent filmmakers such as Martin Scorsese, Ridley Scott, and Matthew Vaughn.
Despite these investments, Apple TV+ has captured only 0.2% of television viewership in the U.S., accumulating fewer views in a month than Netflix does in just 24 hours. The platform has also faced challenges in attracting new subscribers.
While the streaming sector is not a primary focus for Apple, the company’s days of unrestricted spending appear to be dwindling. This shift is reflected in its hesitance to renew several shows for third seasons.
Additionally, Apple TV+ is currently the only major streaming service that does not offer an advertising tier, a situation that may soon change following the hiring of Joseph Cady, a former NBCUniversal advertising executive, earlier this year.