Apple is conducting discussions about licensing more films from major Hollywood studios, in an effort to increase the appeal of its film library, according to a report by Bloomberg.
The iPhone maker has spoken to several of the largest studios about acquiring more programming from their libraries to offer customers both in the US and abroad, said the people, who asked not to be identified discussing private negotiations. A representative for Apple didn’t respond to a request comment.
While most other streaming services have offered customers a mix of splashy new series and deep libraries of old TV shows and movies, Apple has built its paid streaming service almost entirely around original productions. It has scored a few breakout hits, such as the soccer comedy Ted Lasso and the TV news drama The Morning Show, and this week received 72 Emmy nominations, the most in its history.
While Apple TV+ has seen some commercial and critical success with original series such as “Ted Lasso” and “The Morning Show,” the service has failed to match the extensive catalogs of its competitors, such as Netflix and Disney+.
The Apple TV+ streaming service, which launched in November 2019, has not performed as well as competing streamers. According to the research firm MoffettNathanson, only 11% of U.S. households use Apple TV+, compared to 55% for Netflix. The limited library of content on Apple TV+ is likely a significant factor contributing to the streamer’s slower growth.
Customers are far less likely to cancel a service that they watch more. Netflix, which offers thousands of titles, suffers the lowest rate of cancellation of major streaming video services, according to Antenna, while Apple TV+ is on the higher end.
Earlier this year, Apple TV+ licensed approximately 50 movies from Hollywood studios for its service in the United States, adding popular titles such as “Mean Girls” and “Titanic” to its catalog. The positive reception to this initial batch of licensed films has encouraged Apple to pursue additional content deals.
