Apple to spend $1 Billion on original programming

Apple seems to finally be getting serious about television, as reports have the iPhone maker setting aside about $1 billion annually for original programming.

While that isn’t a lot compared to the $6 billion that Netflix and the $4.5 billion Amazon is expected to spend this year, it’s a start. And given that Apple is sitting on about $260 billion of cash on its balance sheet, the computer giant could step up that spending in a heartbeat.

Apple also could bring considerable marketing and technology clout to any TV offering, if the success of the IPod, the IPhone, the IPad and countless other iconic technical innovations is any evidence.

The Wall Street Journal first reported that Apple was earmarking a specific sum for original shows. Apple has repeatedly threatened to enter the TV business but has held back in the past. But by committing actual funds to programming and moves earlier this year to hire away top content executives from Sony – Zack Van Amburg and Jamie Erlicht, who oversaw Sony Television hits like Breaking Bad, Better Call Saul and The Crown are now co-heads of video programming for Apple– the computer giant is showing that it means business.

In announcing the hirings in June, Apple senior VP of internet software and services Eddy Cue, who heads up the computer company’s overall video efforts, said “We have exciting plans in store for customers and can’t wait for them to bring their expertise to Apple — there is much more to come.”

The addition of former WGN America president and general manager Matt Cherniss to oversee Apple’s worldwide video development helps solidify a commitment to quality shows. While at WGN America, Cherniss developed critically acclaimed but lightly viewed series like Manhattan (the network’s first Emmy winner), Underground and Outsiders.

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