Apple loses $1 billion yearly because of this service

Apple TV+. You’ve heard of it, right? Maybe you even have it. Home to shows like “Severance” and “Masters of the Air. ” Big names. Big budgets. But here’s the thing: it might be costing Apple a fortune.

Reports are saying Apple is shelling out over $5 billion a year on TV+ content. Think about that for a second. That’s a LOT of cash.

The Subscriber Struggle

They’ve got around 45 million subscribers. Not bad, right? Except. .. Netflix has over 300 million. Disney+? Almost 125 million. Apple’s playing catch-up.

And get this: Apple TV+ is cheaper. Only $9. 99 a month without ads. Netflix? Almost double that.

Bundling to the Rescue?

Apple’s trying to sweeten the deal. Buy an iPhone? Get Apple TV+ free for a few months. Student with Apple Music? Free TV+ too. Smart move, but is it enough?

A Billion-Dollar Loss?

Ouch. That’s the rumor. Apple TV+ might be losing over a billion dollars every year. That sounds like a lot of money. To me, anyway.

Wait, It’s Apple. ..

Here’s the perspective. Apple’s a giant. Their last quarter? $124. 3 billion in revenue. Services like Apple Music and iCloud? $26. 3 billion. That Billion-dollar loss, while significant, is a drop in the bucket.

Prestige TV, Prestige Problems?

Apple’s gone for quality. Think big stars, high production values. Reese Witherspoon, Jennifer Aniston, Oprah. They’re not messing around.

They’ve snagged Emmys for “Ted Lasso” and even an Oscar for “Coda. ” Awards are nice. But do they translate to profit?

The Big Picture

Over 80 original movies and 120 original shows. Apple’s building a library. A big one.

Tim Cook brags about all the award nominations and wins. And he should. But the question remains: Can Apple turn TV+ into a money-maker? Or is it just a passion project for the world’s most valuable company?