Apple (NASDAQ:AAPL) has begun to purchase TV shows that are no longer on the air and older movies in an effort to provide more compelling reasons for consumers to subscribe to the Apple TV + service.
While the iPhone maker is still mainly focused on original programming for Apple TV+, Apple realizes it needs to offer a variety of content to take on the streaming leaders, including Netflix (NASDAQ:NFLX) and Amazon (NASDAQ:AMZN), Bloomberg reports, citing people familiar with the matter.
Apple TV+ has around 30 original shows and movies on its platform, which costs $4.99 a month. Compare this to Netflix, which has thousands of pieces of content users can stream, although Netflix does charge more, coming in at $8.99 a month for its cheapest package.
The move may be necessary for Apple. The sources told Bloomberg that about 10 million people have become customers of Apple TV+ as of February, but only around 5 million use it actively. That's amid the COVID-19 pandemic where shelter in place rules have driven demand for streaming content. With millions of people turning to streaming platforms to kill boredom during the pandemic, Apple is realizing it needs more content to keep users engaged. Apple is also seeing an uptick in usage and has taken steps to make its service more desirable during the pandemic. Last month, it started letting users watch certain shows for free.