Apple In Bid To Buy Beats For 3Bil

So the popular beats by Dre will now have an “I” added to them! Well that is the general thought especially when dealing with Apple. Recent developments have reviewed that the popular i-phone maker is planning to do a “Zurkerberg Style” on Beats .

While purchasing of the company seems like a direct attack on the HTC brand which previously held an exclusive contract with beats , some experts claim that the move by Apple is anything is to go by, has actually saved HTC.

Well here is more from the report :

Apple is reportedly in talks to acquire Beats Electronics for $3 billion, a deal that would be Cupertino’s largest acquisition to date.

The news was first reported by The Financial Times, and sources confirmed the news to the New York Times, too.

It’s not a done deal, but if everything goes through, an announcement could be made in the next week, the Times said.

The news comes about seven months after Beats ended its partnership with HTC. In September, the audio firm announced that The Carlyle Group would make a minority investment in Beats, allowing Beats to reacquire the minority stake that HTC had in the firm for $265 million.

Beats, which makes the Beats by Dr. Dre headphones, reportedly wanted to buy out HTC’s stake in the firm so that it could team up with new investors and branch out beyond headphones.

The deal between Beats and HTC dates back to Aug. 2011, when HTC announced a strategic investment and partnership with Beats valued at a rumored $300 million, which included a line of Beats-enhanced HTC devices. By July 2012, however, Beats bought back half of HTC’s shares in the company to give itself a 75 percent ownership instead of a 50/50 split with HTC.

Beats has expanded beyond hardware. In January 2013, it announced plans to launch a re-branded version of the MOG streaming music service it acquired the year before. That turned into Beats Music, which launched in January.

Apple typically doesn’t comment on its acquisitions. During a recent earnings call, though, Tim Cook said that Cupertino had done 24 purchases in 18 months.

“That shows that we’re on the prowl, I suppose you could say,” he said. “We look for companies that have great people and great technology and that fit culturally.”

“And we don’t have a rule that says we can’t spend a lot or whatever,” he continued. “We’ll spend what we think is a fair price. What’s important to us is that strategically it makes sense and that it winds up adding value to our shareholders over the long haul. We are not in a race to spend the most or acquire the most. We’re in a race to make the worlds’ best product that really enrich people’s lives.”

“So, to the tune that acquisitions can help us do that and they’ve done that and continue to do that, then we will acquire it,” he said. “And so you can bet that you will continue to see acquisitions and some of which we’ll try to keep quiet and some of which seems to be impossible to keep quiet.”

Credit : PCMAG

Tech Coolies : PC Support

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