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Apple’s streaming service had fewer than 20M subs in July, present biz union says

Apple claimed that its streaming service, AppleTV+ logged lower than 20 million subscribers within the US and Canada as of July, in keeping with the International Alliance of Theatrical Stage Employees.

Apple revealed the paltry subscriber numbers — which quantity to solely a small fraction of what Netflix and Disney have amassed — to the present biz union when it got here time to pay its members, who make up its behind-the-scenes manufacturing crew.

The IATSE stated that present manufacturing contracts with Hollywood studios enable smaller streaming providers with lower than 20 million subscribers to pay staff much less. A rep didn’t specify how a lot much less however stated it was a “meaningful difference.”

Apple didn’t return requests for remark.

The information is shocking on just a few fronts. Apple has by no means earlier than revealed subscriber numbers for its streaming service, which launched in 2019. Reports had grossly exaggerated the service’s subscriber depend, estimating that the service had 40 million subscribers on the finish of 2020.

This image released by Apple TV+ shows Reese Witherspoon in a scene from "The Morning Show."
Apple has invested billions of {dollars} in exhibits like “The Morning Show,” starring Reese Witherspoon, however in keeping with the IATSE, union staff usually are not being paid as effectively to work on Apple exhibits.
AP

What’s extra, the iPhone-maker has poured billions of {dollars} into exhibits like “Ted Lasso” and “The Morning Show,” in an try and catch rivals like Netflix and Disney, which have over 200 million and 100 million subscribers, respectively. The numbers reveal simply how far Apple has to go if it needs to develop into a significant participant within the house.

A rep for the IATSE defined that below the present contract, high-budget productions meant for streaming can supply decrease charges to staff if the streaming service has lower than 20 million subscribers within the US and Canada, which is set on July 1 yearly.

Jason Sudeikis as Ted Lasso
Despite creating hit exhibits like “Ted Lasso,” starring Jason Sudeikis (pictured right here), Apple has didn’t meaningfully develop its subscriber base.
Apple TV+

Apple advised IATSE that it had lower than 20 million subscribers, a union rep stated, including that the IATSE is at the moment in negotiations with the Alliance of Motion Picture and Television Producers, the group representing Hollywood studios, over a brand new contract.

A supply near the IATSE complained that manufacturing contracts permitting smaller providers to pay staff much less are “outdated” and that these provisions had been put into place round 2009 with a view to assist streaming get off the bottom.

The supply griped that it isn’t honest that workers are paid much less for a similar work on an Apple present than they’re paid to do the identical work on a Netflix present.

Cook with "The Morning Show" stars, Jennifer Anniston and Reese Witherspoon.
Cook with Jennifer Anniston and Reese Witherspoon, stars of “The Morning Show,” which reportedly prices Apple a whopping $15 million per episode to supply.
Getty Images

It’s ironic that Apple, one of many richest firms on the earth is “taking advantage of this provision” when it is ready to spend huge bucks on exhibits, a supply stated.

Indeed, Apple shelled out a reported $15 million per episode on exhibits like “The Morning Show,” starring Jennifer Anniston and Reese Witherspoon, with a view to shore up subscribers for its $4.99 a month service. Over the summer time, The Post completely reported that AppleTV+ even purchased a button on Roku’s distant with a view to develop its buyer base as free trials started expiring.

“Streaming is here. It’s not new media anymore,” stated the supply, who famous that it’s ridiculous that Apple gained’t pay staff extra.