The Apple TV+ streaming service “is dropping greater than $1 billion yearly,” in response to The Information right this moment.
The report additionally claimed that Apple TV+’s subscriber depend reached “round 45 million” in 2024, citing the 2 nameless sources.
Ars reached out to Apple for touch upon the accuracy of The Info’s report and can replace you if we hear again.
Per one of many sources, Apple TV+ has sometimes spent over $5 billion yearly on content material since 2019, when Apple TV+ debuted. Final 12 months, although, Apple CEO Tim Prepare dinner reportedly reduce the price range by about $500 million. The reported numbers are just like a July report from Bloomberg that claimed that Apple had spent over $20 billion on Apple TV+’s library. For comparability, Netflix has 301.63 million subscribers and expects to spend $18 billion on content material in 2025.
Within the 12 months previous Apple TV+’s debut, Apple companies chief Eddy Cue reportedly pushed again on govt requests to be stingier with content material spending, “an individual with direct data of the matter” informed The Info.
However Prepare dinner began paying nearer consideration to Apple TV+’s spending after the 2022 Oscars, the place the Apple TV+ authentic CODA received Finest Image. The award signaled the importance of Apple TV+ as a enterprise.
Per The Info, spending associated to Apple TV+ beforehand included lavish perks for actors and producers. Apple paid “a whole lot of 1000’s of {dollars} per flight” to move Apple TV+ actors and producers to promotional occasions, The Info mentioned, noting that such spending “is frequent in Hollywood” however “extra uncommon at Apple.” Apple’s finance division reportedly pushed Apple TV+ executives to seek out higher flight offers someday round 2023.
In 2024, Prepare dinner questioned big-budget Apple TV+ movies, just like the $200 million Argylle, which he mentioned did not generate spectacular subscriber boosts or viewership, per an nameless “former Apple TV+ worker.” Prepare dinner reportedly reduce about $500 million from the Apple TV+ content material price range in 2024.