Apple’s fiscal fourth quarter earnings (AAPL) confirmed robust demand for a few of its {hardware} — however in relation to providers like Apple TV+, it’s virtually gifting away content material when it must do a greater job of constructing it up.

Wedbush analyst Dan Ives informed Yahoo Finance on Friday that the tech big remains to be providing up without spending a dime many of the content material on its nascent streaming service.

In the meantime, Apple is sitting on about $192 billion in money, which Ives thinks is sufficient to purchase an organization producing a number of content material with a view to compete with trade chief Netflix (NFLX), which introduced a value hike this week.

“They’re the king of content material,” Ives mentioned. “Should you take a look at churn it is actually been spectacular what they have been in a position to do” within the face of stiff competitors from the likes of Apple, Disney (DIS) and Amazon.

“I feel Netflix continues to be ready of power there and them placing collectively that value enhance, it is what traders wish to see,” Ives added.

‘Constructing a Mansion with No Furnishings’

For greater than a yr, the analyst has been beating the drum for Apple to make use of its money to purchase a studio with a full slate of flicks and exhibits.

“That continues to be the lacking piece,” Ives defined. “They’ve primarily constructed a fort, a mansion with no furnishings when it comes to content material.”

Apple TV+’s comparatively slim catalog consists of originals like “The Morning Present,” “Ghostwriter,” “Fraggle Rock: Rock On!,” and “Oprah’s Ebook Membership” — six of which earned over a dozen Primetime Emmy nominations. Nevertheless, these accomplishments have fallen in need of the accolades and broader reputation of content material on different platforms.

“I might be shocked if they don’t purchase a studio over the subsequent three, six months,” Ives informed Yahoo Finance, speculating that main studios like Lion’s Gate, Sony, MGM and A24 have been prime contenders to be purchased out.

“From a content material perspective, that is what’s lacking for Apple on the streaming facet,” added Ives — and would seemingly make traders completely satisfied.

Tracey Marx Bernstein is a Senior Producer at Yahoo! Finance.