If Apple hopes to compete in the quickly crowded market of streaming services, it will need to start spending a lot more money. If Loup Ventures analyst Gene Munster is to believed, Apple is doing just that by spending up to $4.2 billion on original content by 2022.
Apple has made a few strategic investments so far into the movie and television space. Some have not panned out, while others have yet to be seen. To date, Apple’s original video content has been pretty lackluster.
It seems Apple is committed to turning that around though.
Recently, Apple has won the rights to a new high-profile upcoming series. A new show with Reese Witherspoon and Jennifer Aniston.
They’ve also enlisted the help of two video executive they’ve poached from Sony that previously were responsible for work on Breaking Bad.
Compared to other rival streaming services, Apple is focused solely on original content. Other platforms like Netflix and Hulu already meet the need on iPhones, iPads, and Apple TV in that area, so they are pouring piles of cash into their own shows and films.
We’ve heard recently that Apple is looking to increase their budget for original content to 1 billion dollars in the next year.
Now well-known Apple analyst Gene Munster is predicting that Apple will spend an additional 3.1 billion by 2022.
Apple could need to increase its spending more if they hope to keep pace with Amazon and Netflix, who are predicted to spend $8.3 and $6.8 billion respectively.
Gene Munster proposes Apple will take on a major rebranding of Apple Music in the coming years, as a service destination for more than just audio.