Netflix co-founder Marc Randolph said that Apple TV+ has "no excuse" for its lagging behind other competitors in the streaming market.
Credit: Apple
Apple has yet to report subscriber numbers for its fledgling streaming service. However, there are indications that the company isn't seeing the same type of growth as its rivals and that it may have a "freeloader" problem.
"If Apple spent one quarter as much time on content as they do on giveaways they really could play," Randolph told Yahoo Finance in a recent interview. He noted that Apple has $200 billion cash on hand.
Apple has more than 50 films and TV shows on its Apple TV+ platform. That number pales in comparison to the massive libraries of competitors like Netflix, or even Disney+, which launched around the same time as Apple.
"They have no excuse [and] they're still not in it with both feet," Randolph said. "They really have to do the entrepreneurial thing and walk up to the edge of the cliff and jump."
The Netflix co-founder also noted that Apple TV+ has the highest churn rate of any streaming platform.
In January, Apple extended its initially yearlong free trial through July 2021. Data also suggests that the majority of users on a trial don't plan to resubscribe on the promotional period ends.
"You can't keep replacing people, you've got to give them a reason to stay," Randolph said.