Apple is reportedly facing substantial financial losses in its Apple TV+ business due to the high costs associated with producing premium films and TV shows for streaming. According to a paywalled report by The Information, the tech giant is losing more than $1 billion annually due to its substantial investments in original programming. Despite efforts in 2024 to reduce expenditure, Apple only managed to trim about $500,000 off its budget, bringing the total spend to $4.5 billion, down from the $5 billion it has been spending each year since launching Apple TV+ in 2019.
The quality of Apple TV+'s original content has been widely acclaimed, both by critics and viewers, with standout shows like *Severance*, *Silo*, and *Foundation* epitomizing the high production values that Apple insists on. There's no doubt that these shows are anything but budget-constrained.
Severance Season 2 Episodes 7-10 Gallery
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This commitment to excellence is reflected in the critical acclaim these shows receive. *Severance*, freshly renewed for a third season following its Season 2 finale, boasts an impressive 96% critics score on Rotten Tomatoes. *Silo* is not far behind with a 92% rating. Apple's upcoming show, *The Studio*, a meta-comedy led by Seth Rogen that premiered at SXSW, is also garnering praise with a stellar 97% critics score on Rotten Tomatoes. Other hits like *The Morning Show*, *Ted Lasso*, and *Shrinking* further underscore Apple's success in this arena.
According to Deadline, Apple TV+ saw an increase of 2 million subscribers last month during the run of *Severance*, suggesting that the company's strategy might eventually yield positive results. With Apple's fiscal 2024 annual revenue reaching $391 billion, it is likely that the company will continue to invest in high-quality content for some time to come.
