The Nasdaq and S&P 500 maintain their positive momentum as investors shrug off concerns over rising Treasury yields, signaling resilience in the stock market today.
Apple’s recent release of “Killers of the Flower Moon” represents a significant shift in the tech giant’s film strategy. With a focus on exclusive theatrical titles, Apple aims to drive subscribers to its flagship streaming service, Apple TV+.
In a bold move, Apple has committed to spending $1 billion on producing movies for theaters. This decision comes as the box office experiences a post-pandemic bounce back, despite ongoing issues within the industry such as the actors’ union, SAG-AFTRA, still being on strike.
Shawn Robbins, chief analyst at Box Office Pro, believes that this move signals a transition period for Apple. He notes that the company is now looking to approach content differently, particularly with prestigious productions and A-list talent like Leonardo DiCaprio and Martin Scorsese.
While “Killers of the Flower Moon” had a lukewarm global debut, earning $44 million, it is still a notable feat considering its long run time and the ongoing strike. Robbins explains that Apple sees the potential for films like this to perform well with an exclusive theatrical window. Studios, including new players like Apple, have recognized the value of the theatrical experience.
Apple’s $1 billion theatrical bet aligns with rival Amazon’s similar plans. Amazon, who closed an $8.5 billion deal to acquire MGM in March 2022, has already seen success with the release of “Creed III” earlier this year. Both companies understand the importance of theatrical representation in driving their bottom lines and ultimately benefiting their streaming libraries.
By investing in exclusive theatrical releases, Apple and Amazon are positioning themselves for success in both the traditional box office market and the streaming industry. This strategy allows them to embrace both sides and create a win-win situation for their audiences and their businesses.