Apple TV Plus is losing more than $1 billion every year despite reaching 45 million subscribers in 2024, according to a report from The Information. It’s reportedly the only Apple subscription that isn’t generating a profit.
As part of an effort to take “a harder line on spending,” Apple cut its initial $5 billion budget for Apple TV Plus content by around $500 million, The Information reports. Even with hit original shows like Severance, Apple TV currently captures less than 1 percent of total monthly streaming services viewership, as opposed to Netflix’s 8.2 percent, according to data from Nielsen cited by The Information.
But, as noted by The Information, Apple TV Plus was largely created to keep people in the Apple ecosystem. Netflix co-CEO Ted Sarandos touched on the strategy behind Apple TV Plus during an interview with Variety this week, saying “I don’t understand it beyond a marketing play,
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