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Apple TV+ Reportedly Losing $1 Billion a Year Despite Streaming Hits Such as Severance and Silo

Author : Evelyn
Apr 14,2025

Apple is reportedly facing substantial financial losses in its Apple TV+ business, primarily due to the high costs associated with producing its original films and TV series. According to a detailed report by The Information, Apple is incurring losses exceeding $1 billion annually from its investment in content creation. Despite efforts to reduce spending in 2024, the company only managed to cut costs by approximately $500,000, bringing total expenses to $4.5 billion, down from the $5 billion it had been spending each year since the launch of Apple TV+ in 2019.

The quality of Apple TV+'s original programming remains undisputed, earning high praise from both critics and viewers alike. Shows like Severance, Silo, and Foundation are prime examples of Apple's commitment to top-tier production values. These series, along with others such as The Morning Show, Ted Lasso, and Shrinking, have solidified Apple TV+'s reputation for excellence. Notably, Severance has just been renewed for a third season following the conclusion of its second season, boasting an impressive 96% critics score on Rotten Tomatoes. Silo follows closely with a 92% score, while the newly premiered The Studio, a meta comedy led by Seth Rogen, has garnered a remarkable 97% critics score after its debut at SXSW.

Severance Season 2 Episodes 7-10 Gallery

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This dedication to quality content is reflected in the positive reception these shows receive, which is vital for Apple's strategy in the competitive streaming market. According to Deadline, Apple TV+ saw an increase of 2 million subscribers last month, coinciding with the run of Severance, indicating that their approach may eventually prove fruitful. It's important to note that Apple's overall financial health remains robust, with the company reporting $391 billion in annual revenue for its fiscal year 2024, suggesting that it can sustain its current investment in Apple TV+ for the foreseeable future.

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