Apple has made splashy bets in Hollywood. Are they paying off?

In the first episode of Apple TV+ “StudioOscar -winning manager Martin Scorsese is selling his text to the Connectal Fictional Studios, just to be told by the studio president later by Seth Rogen that the project, around Johnstown, was killed.
Instead, the company is rapidly tracking in Cash Grab: Kool-Aid.
“Just give me my movie and let me sell it to F -Apple, in the way I should have done in the first place,” says Scorsese despair.
The line can be practically an advertisement on how to apply the Apple TV+service, which is the Cupertino Tech Giant’s broadcast service, as a creative haven for film makers trying to sell original bold ideas.
The service, which was provided in 2019 with a Splashy event Opera Winfrey and Stephen Spielberg include success with comedy offers such as “Ted Laso” and 2022 best image Oscar winner “CODA”.
But the question hanging on the company was only How dangerous is Was it related to Hollywood aspirations? Will he be the next big energy player? Or will it be just another timing in another depth? For years after joining the company, the Apple TV+ Jamie Erlicht and Zacke Van Amburg showed rumors that their jobs were in danger.
Recently, her efforts have become more focused. He was in a state of decisive success with shows like “Severance”, “The Studio” and “Your friends and neighbors”. Tim Cook, CEO of Apple, said in a call with investors on Thursday that Apple TV+ “has become a destination to see” and published standard scenes in the quarter.
Some compared it to HBO – before the discovery of Warner Bros. It started making discounts -Develop a reputation for being ready to pay a great stars and creativity in the A.
“It was great in determining her position … and the quality of what she is doing is wonderful,” said Stephen Galway, Dean of Dodge College of Arts and Media Arts. “The question is, is it a big place enough to justify the expenses?”
The base of subscribers to Apple TV+is still compared to competitors, including Netflix. It lacks the deep and smiling libraries of Walt Disney or Warner Bruce, which helps to keep customers pay every month and not turn into another service. Critics say that although it contains good shows and movies, it lacks the size and breadth of its competitors.
The quality approach to the quantity has its doubts. Daniel Evz, the administrative director of Wedbush Securities, Apple TV+ 57 million subscribers, is called “disappointing”. He said that Wall Street was hoping to see 100 million subscribers or more.
Apple “built a palace [and] They do not have enough furniture, and this is a problem from the content perspective with Apple TV+. ”
Moreover, technology and business news website Information I stated that the Apple TV+ loses a billion dollars per year. The company’s strategy left some competitors scratching their heads.
“I do not understand this exceeding the marketing play, but they are really smart people,” said Co-Co-Co-COO TED SARANDOS in an interview with Mars with diverse. “You may see something that we don’t do.”
Apple refused to comment.
Observers noticed that it could take a long time until broadcasting services are profitable. Nbcunivesal peacock is still losing money, for example.
In recent years, subscription flow services have been pressured by investors to make more profits. In an industry where there is A lot of competition Netflix was The winner announcedThere is concern about the number of platforms that can live on its own.
But Apple thinks differently in entertainment compared to its traditional competitors in the studio, says people familiar with the company.
Apple TV+ is one part of the largest company to develop its subscription services business under Eddy Cue, which includes Apple Music, iCloud Storage and Apple News, among other options.
The service category represents 25 % of the total Apple sales of $ 391 billion in the last fiscal year. The company’s largest money maker is still iphoneWhich represented 51 % of the total Apple revenue in its last financial year.
The company said in the last quarter, revenue records of 26.6 billion dollars, an increase of 12 % over last year.
Apple TV+ is “a small part of all the services it provides.” “You want to add this to the total brand experience, but without crossing a huge gap in resources and investments.”
The Apple TV programming strategy was followed+talent -friendly approach, which tends to prefer projects with the adult name stars.
He was one of his main early bets.Morning“With Jennifer Aniston, Weserbesbon, Steve Carrell. Drama.”Your friends and neighbors“MAD MEN” stars. Drama Survival in February “The Gorge” Miles Teller and Anya Taylor-Joy.
One of Apple’s largest films will happen this summer with the Formula 1 “F1” movie (Brad Pitt), which strikes theaters in June, including IMAX screens. Warner Bros. deals.
Paul Dergarabedian, chief media analyst at COMSCORE, hopes to play “F1” like “Top Gun: MAVERICK” on the race track. Some of the previous films that depend on Apple films that the stars move in theaters, including “Fly Me to the Moon” and “Legs“
“This is a huge movie for Apple,” said Dergarabedian. “I think they have chosen an ideal project to amplify the acumen of filmmaking and their directors.”
The creators who worked with the company said.
Becky Clemens, head of tomorrow’s studios, said it is “grateful forever” that Apple has picked up a shot on “materialism”, an original series of Rose Bern around a housewife in the eighties, who struggles with eating disorder and finds strength through exercise.
“It is an original piece, which is often difficult in the market,” said Clemens.
Apple ratios to the support of filmmakers and not to participate in the show, which was crashed into difficult materials.
Ben Silverman, executive producer in the upcoming Apple TV+ series “Stick” (starring Owen Wilson), said that the exhibition budget allowed travel to North Carolina Filming State, where prominent Golf commentators IMMELman and Jim Nantz were present during the PGA tour.
“I think a lot of platforms support creators at the present time, but they may not have the frequency range to go deep as Apple can in individual projects because they do not do much,” said Silverman, Chairman of the Board of Directors and participating in his content in Los Angeles.
Not all designs were happy with Apple.
Observers gave an episode when she released a short and limited theatrical release of Brad Pitt and George Clooney comedy last year rather than a more traditional release.
The director John WhatsApp said Delivery date He retracted a continuation because he was surprised by the “last minute” transformation from Apple and that Apple ignored his request for not revealing that he was working in a follow -up. Apple did not eat controversy publicly.
Like other signs, over time, the Apple TV+ has made changes to help generate more revenues, reduce costs and increase customers. Last month, Apple Cut It is temporarily from broadcasting service to $ 2.99 a month. The basic monthly fees are $ 9.99. Last year, Apple TV+ reached a deal to sell subscriptions Through the Amazon.
In February, Apple TV+ accounted for 30 % of its recordings via Amazon channels, said Brendan Brady, director of the air research company. He added that prominent releases, including the new “Severance” season and “The Gorge”, led the subscriptions.
“It is a mixture of content that leads the acquisition, as well as opening their distribution, which attracts a new audience,” said Brady.
Apple’s total Apple business faces macroeconomic challenges, such as Trump administration’s trade war With China.
Government officials have warned that the customs tariff on smartphones made in China is at – Which would harm iPhone from Apple because many of them are made in the country. Analysts said that increased costs to the total business of Apple can ultimately pressure on other areas of the company including Apple TV+.
Some people working with Apple said it is too early to judge the success of Apple based on the number of subscribers estimated so far, and they put chips in the successful long -term project.
“It is about investing in an early and long -term investment,” Silverman said. “I always want entrepreneurship to tend early in these platforms and partnerships, hoping that I can build a relationship on the seashore.”