Apple TV+ Curbs Costs After Expensive Projects Fail to Capture Viewers

Apple is scaling back its Hollywood spending after investing over $20 billion in original programming with limited success, Bloomberg reports.

Apple TV Plus Feature 2 Magenta and Blue
This shift comes after the streaming service, which launched in 2019, struggled to capture a significant share of the market, accounting for only 0.2% of TV viewership in the U.S., compared to Netflix's 8%. Despite heavy investment, critical acclaim, and numerous award nominations, Apple TV+ purportedly generates less viewing in one month than Netflix does in a single day.

Over the last five years, the ‌Apple TV‌+ has had only four series make Nielsen's weekly list of the ten most popular original streaming shows. While Ted Lasso was the most-watched streaming show of 2023, ‌Apple TV‌+ still accounts for a smaller share of top ten hits than any streaming service except Paramount+.

Apple's initial foray into streaming was marked by lavish spending on high-profile projects and talent, including deals with big names like Oprah Winfrey, Steven Spielberg, and Jennifer Aniston. The company's Hollywood operation, led by studio chiefs Zack Van Amburg and Jamie Erlicht, positioned itself as a talent-friendly destination, reminiscent of HBO, offering creators seemingly unlimited financial resources.

Apple spent more than $500 million combined on movies from directors Martin Scorsese, Ridley Scott, and Matthew Vaughn, and upwards of $250 million on the World War II miniseries Masters of the Air. Despite the strong reviews and awards nominations, these projects have not yielded the viewership that Apple apparently hoped for.

The company's new strategy is said to involve tighter budget controls and a more cautious approach to spending. This includes paying less upfront for shows, being quicker to cancel underperforming series, and delaying productions to manage costs better. For instance, the production of the sci-fi series Foundation was postponed to prevent budget overruns caused by delays related to the 2023 actors and writers strikes.

The cost of the second season of Severance surged to over $20 million per episode due to pandemic-related delays, internal conflicts, and additional expenses such as hiring House of Cards creator Beau Willimon for script contributions. Management has asked the producers of Severance to reduce the budget for future seasons, emphasizing the need for financial sustainability.

Apple has also become more selective in acquiring new projects, declining to buy some shows that sellers believe the company would have accepted just a few years ago. The company allegedly wants to shed the image of being Hollywood's biggest spender and bring more discipline and strategy to its content investments.

While still willing to invest heavily in certain high-profile projects, such as The Morning Show, where cast salaries alone exceed $50 million for the upcoming season, ‌Apple TV‌+ is becoming more fiscally conservative. The Morning Show stars Jennifer Aniston and Reese Witherspoon will each earn more than $2 million per episode. This recalibration comes at a time when other major studios like Disney, Warner Bros., and Paramount are similarly cutting back on streaming budgets due to mounting losses.

Popular Stories

iOS 18

Apple Says iOS 18.4 Will Be Released in April With These New Features

Wednesday February 26, 2025 7:15 am PST by
In a recent press release, Apple confirmed that iOS 18.4 will be released in April. From the Apple News+ Food announcement:Coming with iOS 18.4 and iPadOS 18.4 in April, Apple News+ subscribers will have access to Apple News+ Food, a new section that will feature tens of thousands of recipes — as well as stories about restaurants, healthy eating, kitchen essentials, and more — from the...
Generic iPhone 17 Feature With Full Width Dynamic Island

Latest iPhone 17 Series CAD Images in Line With Redesign Rumors

Friday February 28, 2025 2:51 am PST by
Apple is expected to embrace a new camera system design for some models in its upcoming iPhone 17 series, and the latest purported CAD images don't deviate from what we have been hearing lately about Apple's new lineup. If you do not like the sound of an iPhone with a Google Pixel-style camera bar, look away now. Seasoned leaker Sonny Dickson shared the following images in a post on X...
iphone 16e usb c feature

Apple Provides Reason for iPhone 16e's Lack of MagSafe

Friday February 28, 2025 4:39 am PST by
Apple has offered a reason why the iPhone 16e doesn't include MagSafe, one of the more notable omissions from its latest entry-level smartphone. According to Apple representatives who spoke to Daring Fireball's John Gruber, MagSafe is not included in the iPhone 16e because "most people in the iPhone 16e's target audience exclusively charge their phones by plugging them into a charging...
apple intelligence black

These New Apple Intelligence Features Are Coming in iOS 18.4

Friday February 28, 2025 3:17 pm PST by
iOS 18.4 was supposed to bring new Apple Intelligence Siri features, but Apple ended up needing to pull those capabilities from the update to continue testing. There are fewer new Apple Intelligence additions now, but there are still some new features that will make the update worth installing when it comes out in April. Priority Notifications Apple introduced Priority Notifications back at ...
Generic iOS 19 Feature Mock Light

iOS 19 Rumored to Include These New Features for Your iPhone

Saturday March 1, 2025 11:00 am PST by
iOS 19 is still around three months away from being unveiled, but there are plenty of rumors about the upcoming update. Below, we recap iOS 19 rumors so far. Redesigned Camera App A leak earlier this year allegedly revealed a redesigned Camera app coming with iOS 19. On his YouTube channel Front Page Tech in January, Jon Prosser shared a video showing what the new Camera app will...
cook trump

Trump Responds to Apple Keeping Diversity Policies

Wednesday February 26, 2025 6:32 am PST by
In an all-caps post on Truth Social today, U.S. President Donald Trump said Apple should fully end its diversity, equity, and inclusion (DEI) policies. Tim Cook meeting with President Trump in 2017 "APPLE SHOULD GET RID OF DEI RULES, NOT JUST MAKE ADJUSTMENTS TO THEM," he wrote. Trump's post comes one day after Apple held its annual shareholders meeting, during which a majority of...
apple watch ultra snow

6 Features Coming to the Apple Watch Ultra 3

Tuesday February 25, 2025 9:00 am PST by
The Apple Watch Ultra 3 is expected to launch later this year, arriving two years after the previous model with a series of improvements. While no noticeable design changes are expected for the third generation since the company tends to stick with the same Apple Watch design through three generations before changing it, there are a series of internal upgrades on the way. By the time the ...
airpods pro purple

Here's When AirPods Pro 3 Are Rumored to Launch

Monday February 24, 2025 9:14 am PST by
According to a post on X today from a leaker known as Kosutami, Apple plans to launch AirPods Pro 3 in May or June this year. The leaker also claimed that an AirTag 2 will launch around the same time. Kosutami is best known as a collector of prototype Apple hardware, but they have occasionally shared accurate information about Apple's future product plans. For example, they accurately...
apple c1

How Fast is Apple's First-Ever 5G Modem? The Results Are Surprising

Friday February 28, 2025 10:08 am PST by
iPhone 16e reviews are now out, and Apple's custom-designed C1 modem has been put to the test. The results so far are quite surprising, as the C1's speeds are not as slow compared to Qualcomm modems as originally expected. While the C1 does not support ultra-fast mmWave 5G in the U.S., it appears to offer comparable 5G performance to Qualcomm's Snapdragon X71 modem found in the iPhone 16,...

Top Rated Comments

AppleTO Avatar
8 months ago
I don’t know why, but I just find Apple’s content kind of cringey to watch. I wish they would stop all this and just focus on technology.

Paying a ton of money for high profile actors and directors doesn’t guarantee success.
Score: 66 Votes (Like | Disagree)
SpotOnT Avatar
8 months ago
You really don’t need a huge budget to make something entertaining…

The whole industry needs a major realignment.
Score: 45 Votes (Like | Disagree)
GeoStructural Avatar
8 months ago
It doesn’t matter how many awards and nominations Apple pays for, the content is just boring, low-stakes, and barely interesting.

The production value is there, and some of the shows are good (Severance, for instance), but it is just not appealing overall. I have had many free trials ranging from 3 months to over 1 year and still have never felt persuaded to pay for it.
Score: 39 Votes (Like | Disagree)
abatabia Avatar
8 months ago
I found a lot of the content repetitive and boring and hard to get into. There are exceptions but too many someone wakes up to find their life has changed type of shows.
Score: 29 Votes (Like | Disagree)
komuh Avatar
8 months ago
Maybe making stuff people want to watch while also stopping overspending on Hollywood cliché shows will bring some viewers to platform.

Why should i waste time of some boring Morning Show while I can watch House of Dragons or other top tier TV show for less money.

*(Maybe just buy HBO for this billions that were spend on crappy Apple shows to capture some viewer-base and let them <HBO> create shows for you was the move. Right now there are like 3/4 TV shows worth watching on Apple TV why should people waste time on boring, repetitive and copy-paste titles?)
Score: 29 Votes (Like | Disagree)
matt_and_187_like_this Avatar
8 months ago
1 show is 1 show. Obviously a limited offering with ultra-expensive shows won’t work. Build your own stars instead of paying ridiculous amounts for seasoned actors who had their prime 20 years ago.
Score: 28 Votes (Like | Disagree)