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

Apple is reportedly suffering massive losses on its Apple TV+ business as a result of creating costly films and TV shows for streaming.

According to a paywalled report by The Information, the brand is losing over $1 billion a year due to overspending on its original programming. In 2024, the company did make an effort to lower spending costs, but only managed to cut about $500,000, according to the report. This put expenses at $4.5 billion versus the $5 billion it had been spending yearly since it launched streaming app Apple TV+ in 2019.

The original programming on Apple TV+ is highly regarded, both critically and from an audience perspective, but hit shows such as Severance, Silo, and Foundation look impeccable. There’s certainly nothing about them that screams cheap.

It’s a mindset that gives way to the kinds of critical receptions these shows garner. Severance, which was just greenlit for a third season on the heels of the Season 2 finale, has a stellar 96% critics score on Rotten Tomatoes, while Silo sits just below it at 92%. Apple also has a huge new show coming in The Studio, the Seth Rogan-led meta comedy that recently premiered at SXSW. That, too, has a killer RT critics score, currently at an excellent 97%. Apple also has hits in The Morning Show, Ted Lasso, and Shrinking, just to name a few.

According to Deadline, Apple TV+ added another 2 million subscribers last month amid Severance’s run — so perhaps its strategy will eventually pay off. It's worth keeping in mind that Apple generated $391 billion in annual revenue for its fiscal 2024, so it will no doubt continue along this line for some time.

Lex Briscuso is a film and television critic and a freelance entertainment writer for IGN. You can follow her on Twitter at @nikonamerica.