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 photo o-APPLE-BEATS-570_zpsf48fa9f4.jpgFrom left: Jimmy Iovine Beats Co-founder, Apple CEO Tim Cook, Dr. Dre Beats Co-founde, and Apple SVP Eddy Cue

Patently Apple reports that Apple Officially Announces the Acquisition of Beats Music & Electronics Prior to their World Wide Developer Conference. The much anticipated aquisition was for a total price of $3 billion.

This afternoon Apple put out a press release titled "Apple to Acquire Beats Music & Beats Electronics." Jimmy Iovine, a recording engineer that worked with John Lennon and helped to produce the great "Born to Run" Album by Bruce Springsteen stated that "I've always known in my heart that Beats belonged with Apple. The idea when we started the company was inspired by Apple's unmatched ability to marry culture and technology. Apple's deep commitment to music fans, artists, songwriters and the music industry is something special." [...] The acquistion will now be etched into Apple's history book as the largest to date.  
 photo applebeats_zpse0a6b824.jpgFrom Apple's Press Release:
Apple's CEO told the Financial Times earlier today that "We’ve got a streaming service that we believe is the first to get it right. They had the insight that human curation was very important . . . we think they’ve done an A plus job."  Cook added that "Beats was superior to rival streaming services. Some of them are no more than a random set of songs put together."

Apple has timed their announcement of the acquisition of Beats Music and Beats Electronics prior to their World Wide Developer Conference which kicks off on Monday June 2, 2014. Earlier today Apple announced that NTT DoCoMo would begin selling Apple iPads by mid-June which will continue Apple's stronghold in the Japanese market. Whether there will be other announcements made prior to Monday's event is unknown at this time, but the drum is beginning to pound as we get closer to Monday's Keynote

Although tthe Beats brand headphones is not considered to be of the highest quality, it does allow Apple to start selling its own headphones in Apples Stores. The Beats Music steaming business seems to be considered the most important technology piece of the purchase.

Some analysts also mention the infusion of vision and talent of the two co-founders could also be a big plus

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Comment Preferences

  •  Tip Jar (6+ / 0-)
    Recommended by:
    bobinson, kurt, Youffraita, sunbro, ask, Tinfoil Hat

    Humor Alert! No statement from this UID is intended to be true, including this one. Comments and Posts intended for recreational purposes only. Unauthorized interpretations may lead to unexpected results. This waiver void where prohibited.

    by HoundDog on Wed May 28, 2014 at 10:27:59 PM PDT

  •  $3 billion price is baffleing (2+ / 0-)
    Recommended by:
    kurt, Youffraita

    Beats is a hardware maker with a music streaming service with great playlists. Yes the playlist people know what they are doing. That is primarily what makes Beats Music different that their competitors. I still don't see the $3 billion value. Beats must have patented hiring great music playlist writers.


    Every time my iPhone battery gets down to 47%, I think of Mitt Romney.

    by bobinson on Wed May 28, 2014 at 11:52:13 PM PDT

  •  Following this the past few weeks has been (2+ / 0-)
    Recommended by:
    Youffraita, FiredUpInCA

    rather hysterical. A whole bunch of people thought it was an April Fools joke.

    So instead of two turntables and a microphone, Apple just bought themselves 200k subscribers and some shitty phones.

    Whatever. I guess when you have that much cash sitting around you can do stuff like that before other folks do.

    The NRA: "Never Responsible for Anything."

    by here4tehbeer on Thu May 29, 2014 at 12:14:22 AM PDT

    •  What this suggests to me (3+ / 0-)
      Recommended by:
      raboof, dadadata, FiredUpInCA

      is that there's another tech bubble forming.

      Remember the one that crashed in about 2000? I do.

      Tech companies were running ads all over the place and I was going, "How are they making any money?"

      They weren't. Bubble burst: splat: and then housing became the bubble.

      I'm not an economist, nor do I play one on TV. But I think we might be seeing too much frothiness (the term of choice for Wall St.) in the tech market right now.

      English usage is sometimes more than mere taste, judgment and education - sometimes it's sheer luck, like getting across the street. E. B. White

      by Youffraita on Thu May 29, 2014 at 12:27:13 AM PDT

      [ Parent ]

      •  "Forming?" (2+ / 0-)
        Recommended by:
        Youffraita, FiredUpInCA

        It's well under way, and every time I see one of these stories I have this reaction:

        SELL ALL YOUR TECH STOCKS NOW.

        Really.

        The thing about quotes on the internet is you cannot confirm their validity. ~Abraham Lincoln

        by raboof on Thu May 29, 2014 at 04:23:26 AM PDT

        [ Parent ]

      •  Apple: too much cash (3+ / 0-)
        Recommended by:
        here4tehbeer, otto, Youffraita

        Iovine: yet another longtime music biz insider.

        People who team up with music biz insiders get what they deserve. It's a very, very slimy business.

        Signed: outsider.

        Thump! Bang. Whack-boing. It's dub!

        by dadadata on Thu May 29, 2014 at 04:43:26 AM PDT

        [ Parent ]

      •  I watched the first one just a couple degrees away (1+ / 0-)
        Recommended by:
        FiredUpInCA

        from the epicenter and it wasn't fun.  Many companies that relied on the tech companies' success (like marketing firms and their vendors) and who'd refused to diversify in any meaningful form did massive faceplants.  Some big video post houses had decided to service all this top-dollar tech stuff exclusively, and when that imploded all their former clients had already formed relationships with other vendors and did not come back.

        There may well be some bubbly shit going on now, but it doesn't feel like the type we commoners get a piece of. This is just the top tier trading pieces back and forth on their own private game boards.

        The NRA: "Never Responsible for Anything."

        by here4tehbeer on Thu May 29, 2014 at 05:07:06 AM PDT

        [ Parent ]

  •  Check headline (2+ / 0-)
    Recommended by:
    zerelda, FiredUpInCA

    acquisition.

    Paranoia strikes deep. Into your life it will creep. It starts when you're always afraid. You step out of line, the man come and take you away. - S. Stills

    by ask on Thu May 29, 2014 at 01:32:16 AM PDT

  •  DRE? (0+ / 0-)

    Digital Rectal Exam?

  •  I'm so confused by this...... (1+ / 0-)
    Recommended by:
    FiredUpInCA

    $3 billion for some designer headphones (which I've heard both good and bad about) and a Spotify-like streaming service (which isn't Spotify)?  Aside from netting Jimmy Iovine (who knows the music industry inside and out), I can't figure out how this is possibly going to yield any return on investment that shareholders are going to be enchanted with.  Are they going to be replacing the conventional record label and go straight to deals with the artists directly?  And again, how is this supposed to make enough money to cover the acquisition?  

    'snakes as you know have a mortal fear of.........tile'

    by OneCharmingBastard on Thu May 29, 2014 at 06:41:07 AM PDT

  •  horrible deal for apple (1+ / 0-)
    Recommended by:
    FiredUpInCA

    but i guess they do have money lying around. that isn't good for business to just have extra money.

    beats is popular and expensive. just like apple.

    unlike apple, they have a horrible reputation.

    free real audiophiles, you'd know to get sennheiser or klipsch or shure right?

    The Senate has no guts. The House has no brains.

    by gossamer1234 on Thu May 29, 2014 at 07:38:17 AM PDT

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