Report: Apple changes movie strategy, rarely does large-scale theatrical releases

Over the past few years, Apple has been churning out big-budget movies meant to compete with the best traditional Hollywood studio offerings, and has been releasing them theatrically to boost ticket sales and boost awards.

A lot of that is about to change, according to A.J a report From Bloomberg. The article claims that Apple is “rethinking its cinematic strategy” after several box office failures, e.g Argyle and Napoleon.

It has already canceled the wide theatrical release of one of its films, the one led by George Clooney and Brad Pitt. Wolves. Most of Apple’s other upcoming big-budget films will be released in a handful of theaters, suggesting the plan is simple to ensure continued awards eligibility but not to put butts in seats.

Furthermore, Apple plans to move away from super-budget films and focus its portfolio on dozens of films a year with lower budgets. Only one big-budget film is scheduled to receive a wide theatrical release: F1. How this one performs could inform future changes in Apple’s strategy.

The report notes that Apple is not the only company changing its strategy. Netflix has been working to cut costs and bring more film production in-house, while Amazon has been trying (so far unsuccessfully) to produce a higher volume of films annually, but with a mix of online-only and cinema releases. It also points out that movie theater chains are feeling more financial pressure than ever, with overall ticket sales not matching pre-pandemic levels despite occasional visits such as… Inside out 2 and Deadpool Wolverine.

Movie theaters rely on streaming companies like Netflix and Apple to produce movies, but those hopes may be dashed if media companies continue to withdraw. For the most part, tech companies like Apple and Amazon have had better luck gaining buzz through TV series than feature films.