It’s official: Apple will acquire Beats for $3 billion
Recent rumors of a Beats by Dr Dre acquisition by Apple have the industry holding their breath. Will this really happen? Why? Such questions are to be answered in due time, but now we are certain this deal is to go through.
The Cupertino giant has confirmed the acquisition of the headphone manufacturer. Some of the details were discussed at USA Today’s offices, where Tim Cook and Eddy Cue met with Beats co-founders Dr Dre and Jimmy Iovine.
The deal is to go down for a mighty $3 billion, of which $400 million will be granted over time. In fact, this acquisition would be the largest Apple has ever seen. Apple is not one to make such huge investments in other companies, so what could have gotten into them?
“For the future”
The acquisition has not been kept secret very well, and neither has Apple’s intentions. Apple makes it very clear that this acquisition is all about “the future”.
When rumors of this acquisition first emerged, it was believed that Apple didn’t have a huge interest in the company’s headphones, but they wanted to boost their music presence with Beats Music. Now it seems as though Apple really cares about neither.
“We’re gaining rare talent, a fast-growing subscription service and premium headphones that have done incredibly well, but none of those are the reason for doing this deal. It’s the future we are betting on” – Tim Cook, Apple CEO
Tim Cook also mentions some “great things” are to come from Apple, and we are going to love them. Some of these changes are said to take place at Apple’s WWDC, this June 2nd.
So… what will Apple do with Beats?
The short answer is: we have no clue! If it’s not really about the headphones or the cloud music subscription service, it must be about some new project Apple has in mind for the famous rapper’s company. In which case, it’s really anyone’s guess what will happen next.
What do you think the iPhone maker has in store for us? Maybe Beats Music implementation into iTunes? Bundled headsets? One thing we do know for sure – Apple is saying the brand will stay untouched. This is very smart, as Beats has a very strong following.