Apple has officially secured full ownership of its critically acclaimed workplace thriller Severance, marking a significant strategic shift for the tech giant's streaming division. The company finalized a deal worth approximately $70 million to acquire all intellectual property rights from Fifth Season, the independent studio that shepherded the series through its first two seasons.
The transaction, completed in late 2024, transfers production responsibilities to Apple's in-house studio, Apple Studios, while Fifth Season transitions to an executive producer role. This arrangement mirrors Apple's previous IP acquisition of another ambitious sci-fi drama, Silo, which moved from AMC Studios to Apple Studios after its inaugural season.
Building the In-House Engine
Since launching Apple TV+ in 2019, the company has pursued a dual-track strategy: commissioning projects from external studios while simultaneously constructing its own production infrastructure. This approach echoes Netflix's early evolution, which began by licensing content from partners before developing its own studio capabilities. Today, Apple Studios produces roughly half of Apple TV+'s programming slate, according to industry sources.
The move represents a natural evolution for Zack Van Amburg and Jamie Erlicht, Apple's Heads of Worldwide Video, who previously led Sony Pictures Television Studios. Their vision has always centered on creating a self-sustaining content ecosystem that gives Apple complete creative and financial control over its most valuable properties.
A Crown Jewel for the Portfolio
Severance has emerged as one of Apple TV+'s most prestigious assets. The series, which explores the surreal divide between employees' work and personal memories, became the platform's most-watched show during its second season. That season garnered 27 Emmy nominations in 2025, winning eight awards including recognition for its innovative storytelling and production design.
The show's creator Dan Erickson continues as showrunner, with filmmaker Ben Stiller serving as executive producer and director. Stiller's feature-film approach to television production—characterized by meticulous attention to visual detail and complex narrative architecture—has defined the series' distinctive aesthetic but has also contributed to its substantial price tag.
The Cost of Excellence
Industry insiders estimate that Season 2's ten episodes cost approximately $20 million each, making it one of television's most expensive dramas. The production faced numerous financial pressures, including extended COVID-19 safety protocols that remained in place until May 2023, an eight-and-a-half-month shutdown due to the 2023 Hollywood writers and actors strikes, script revisions that necessitated scrapping pre-built sets and conducting extensive reshoots, and rising borrowing costs during the prolonged production timeline.
Filming in New York provided valuable tax incentives, though payment delays from state authorities added cash flow complications. The extended schedule—from October 2022 to April 2024—meant Fifth Season carried production costs for significantly longer than anticipated while managing other high-budget projects like the Jason Momoa-led epic Chief of War.
Looking Ahead: A Four-Season Vision
With Apple now fully at the helm, production for Season 3 is slated to begin this summer. Sources indicate the company has committed to a four-season narrative arc, with discussions already underway for potential universe expansion through spinoffs or related content.
This long-term planning reflects Apple's confidence in the property's durability and its ability to anchor the streaming service's drama portfolio alongside other Apple Studios productions like Your Friends and Neighbors, Stick, Sugar, and feature films including last year's racing blockbuster F1.
Strategic Implications
The acquisition signals Apple's growing maturity as a content player. While the company continues to license successful series from external partners—recent hits like Ted Lasso, The Studio, and Pluribus remain outside productions—owning its most valuable IP provides several advantages: complete creative control without third-party interference, full global rights for distribution and licensing, franchise development opportunities for spinoffs and merchandise, cost predictability over the show's lifetime, and asset value on Apple's balance sheet.
For Fifth Season, the deal provides a significant capital infusion while allowing the studio to maintain a creative stake as executive producer. The company, owned by South Korean entertainment giant CJ ENM, can now focus resources on its expanding slate without the financial burden of carrying Severance's massive production costs.
Production Complexity Meets Corporate Patience
The challenges that made Severance difficult for an independent studio to manage—its intricate non-linear storytelling, massive physical sets, and extensive visual effects—are precisely what make it valuable to Apple. The company's deep pockets and long-term strategic patience better align with the show's demanding production requirements.
Stiller's exacting standards, while contributing to budget overruns, have also created a visually arresting and narratively dense series that stands apart in an increasingly crowded streaming landscape. Apple's ownership ensures these creative ambitions can be fully realized without the financial strain that plagued earlier seasons.
The Bigger Picture
This acquisition represents more than a single show changing hands—it demonstrates the streaming wars' evolution from content licensing to IP ownership. As platforms mature, the most valuable assets are those they fully control. For Apple, Severance joins an increasingly robust portfolio of owned content that defines Apple TV+'s identity and competitive positioning.
The move also highlights the growing consolidation in premium television production, where only the best-capitalized players can sustain the budgets and timelines required for world-class storytelling. With Season 3 on the horizon and a clear path through Season 4, Apple has secured what could become its signature drama for years to come.