Apple will spend a billion on releasing its own films

Apple Inc. plans to spend approximately $1 billion this year on creating original video content to compete with Amazon.com Inc. and Netflix Inc.

This was reported by Bloomberg.

Jamie Erlicht and Zack Van Amburg, who were hired by Apple from Sony Pictures Television in June 2017, will be responsible for the new video products.

Matt Cherniss, who until recently served as president of Tribune Media Co.’s cable network WGN America, will lead the development.

It is noted that the $1 billion budget is significantly less than what Netflix and Amazon spend on video content.

Netflix announced it will spend $6 billion this year, while JPMorgan Chase & Co. analysts predict Amazon will spend approximately $4.5 billion.

Apple representatives declined to comment. According to the publication, Apple has accelerated its progress over the past year as it strives to double revenue by 2020 from its services business, which includes products like Apple Music and the App Store.