Apple’s broadcasting service is losing an exciting amount of money

According to a report published today in InformationThe Apple TV+, the media broadcast service created by the technology giant in 2019, spreads an annual loss of one billion dollars. Although it is expected that startups initially struggle at the beginning while building the base of the subscribers and the original programming library, you should go towards something that approaches the profitability of six years. For example , Peacock’s Peacock, which was launched in 2020, moved from a loss of $ 2.5 billion in 2022 to $ 372 million in 2024. This is still a load of red ink, but at least they lose money in the right direction.

So why is Apple TV+ still a great bleeding despite being home to such a common and/or The famous series “Severance”, “ “Ted Laso”, “Morning Show”, and “shrinking?” And why not frighten her Apple?

It is a little puzzle, in fact, and it must be a sad comment on the entertainment industry. But Apple is not a media company. Like Amazon, they play with different rules from the rest of the broadcast industry. Although the shareholders may be exposed to a dismissal by one of the company’s departments, it routinely puts poor numbers, as long as it is not a noticeable traction on Apple business in general, there is no real incentive to do anything radical.

Originally, Apple Apple TV+ as a generator of the original content that would not be owned by licensing problems across the third -party distributors. Looking at the time it takes to create enough films and TV series to consider them as valuable for subscribers, this approach has been governed from the beginning. Apple TV+ eventually added à La offers, while the amazing company deals with Jim Henson to “Fraggle Rock” rights And the privilege of “Sudanese beans” for the exclusive distribution of classic animation addresses.

Apple TV+subscriber numbers began to improve – though, at the present time, the base of 45 million subscribers behind the nearest Paramount+77.5 million users. Netflix is ​​still at the top of the pile with a subscriber of 301.6 million subscribers, and no one may get an amazing distance any time soon.

If you are curious about what a successful chain like “Severance” can do in terms of attracting new subscribers, the independent research company Antenna estimated that the exhibition directed Ben Stilller added two million new users. This is a large number of an individual series, but for Apple TV+ to overcome Paramount+ and start overcoming this billion dollar annual loss, they will need many tuning products such as “Severance” every year.

Is there anything on the horizon suggested that the Apple TV+ can enhance these subscription numbers?

Apple TV+ was aggressive in signing deals with famous actors such as Reese Witherspoon, Jennifer Aniston and Natalie Portman, and they have the Vince Gilligan series entitled the Raya Sahorn Championship, coming at some point. There is more buzz at the front of the movie with the coming versions of Joseph Kosinski’s Race Drama “F1” Starring Brad Pitt, Spike Lee’s movie “The Supreme Lower 2” starring Denzel Washington, Jonathan Goldstein and John Francis Daly’s adventure “My Day” with Ryan Reynolds. The only negative aspect of this approach is that some of these films will be released before the stream exclusively on the Apple TV+.

Meanwhile, until Tim Cook, CEO of Apple, decides that his money cannot be defended, it is possible that he will adhere to standard operating procedures, which is to overlook the red ink during the celebration of the Amy and Oscar Award that his company wins by communicating (one main feather in his cover: “CODA” was the first movie A Sturner to win the Academy Award for Best Photo). Given that Apple has achieved $ 391 billion during the past fiscal year, a billion dollars is a decrease in a bucket. As long as the company continues to finance basic films (if it is unlikely) from the main film makers such as Martin Scorsese (whom the wonderful “murderers” needed to get Apple’s involvement in the strict conditions of the director), I do not care and not you also. our money.