Video selfie from Dr. Dre confirms that Apple will buy Beats Audio
0. phoneArena 09 May 2014, 10:40 posted on
Late on Thursday, a rumor started spreading that Apple was going to be making the largest acquisition in company history. For $3.2 billion, Apple was rumored to be purchasing Beats Audio, a company once 50.1% owned by handset manufacturer HTC. This morning, confirmation of the deal came from a video selfie made by one of the deal's major players, Dr. Dre...
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24. Martin_Cooper (Posts: 728; Member since: 30 Jul 2013)
- reportedly profitable on revenues that were said to exceed $1 billion last year
- five years later commanded 59 percent of the market for headphones that cost more than $99
- Its revenues quintupled between 2010 and 2012, according to The Wall Street Journal
- Beats came to colonize the Apple Store, where its products dominate the headphone table
- A $200 pair of Beats Headphones is said to cost the manufacturer as little as $14
- And in the longer term, the Beats acquisition could give Apple a music service to rival Spotify
28. 0xFFFF (Posts: 3803; Member since: 16 Apr 2014)
Beats delivers a poor quality product to the market. This is really the antithesis of a company like Apple, a luxury brand.
For example, consider the massive dropoff in Mercedes Benz sales when their quality dropped. Apple doesn't want this. In reality, Beats is just an anchor. It won't take Apple to anyplace better than Apple already is.
If Apple wanted a Spotify competitor, they could make one for a fraction of the money that they are ostensibly spending on Beats. Or buy a company that does just streaming audio for a fraction of the cost of Beats.
The reality of this deal is that it is being pushed by the bankers as an exit for Beats as the company has no long term future. The bankers want their money out, but they need a big player to swing the deal. So they called up Apple and told them to make it happen.
30. Martin_Cooper (Posts: 728; Member since: 30 Jul 2013)
They are just OVERPRICED. They are not crap as many of you suggest them to be. In fact they are better than many crap out there. The only problem is that at same price range you find better ones. That doesn't mean they are bad. Plus Apple wants them for many reasons and its a fantastic buy for them. Try explaining a rich 17 years old why beats arent as good as he/she thinks they are or try explaining it to some DJ that wants to have cool image. The fact is they sell so well that they have a premium name in headphones market. Only people who are tech geeks and understand wouldn't buy them and those are the minority of the market share.
37. 0xFFFF (Posts: 3803; Member since: 16 Apr 2014)
Most of Apple's product to date have inherent quality that is far beyond that offered by Beats.
Think if Mercedes Benz bought some company that made Yugo cars but spraypainted them gold and sold them for 10 times what a basic Yugo costs. Do you really think that this would be good for the Mercedes Benz brand? Do you honestly think enough people are so stupid that they would think a gold spraypaint Yugo is a Mercedes Benz?
Now maybe your real point is that the people who buy Beats are so dumb that you can fool them all the time.
31. Martin_Cooper (Posts: 728; Member since: 30 Jul 2013)
Explain to me why S5 which is priced 650-750$ will be a best seller this year when you can buy a nexus 5 for 300$, oppo find 7a for 450$, one plus one for 350$.. etc. Because most of people are not tech geeks who are into technology to understand what good whats bad and whats value for money.
36. sectime (unregistered)
Or perhaps they don't care what you think is important in tech, value is subjective in consumer ware.
38. 0xFFFF (Posts: 3803; Member since: 16 Apr 2014)
Mostly because of two things:
This really isn't part of your main point. Marketing does move product, but without the subsidies people couldn't afford an S5 in the first place.
48. darkkjedii (Posts: 13548; Member since: 05 Feb 2011)
They're simple hating, if google had bought beats, it'd be the bees Knees. Let em hate M_C
54. ady_lad (Posts: 76; Member since: 17 Jul 2013)
You are wrong on this one darkkjedii...people have been saying that Beats suck for ages...even when they were partly owned by HTC, so i guess this one doesn't count.
57. DaMaster (Posts: 33; Member since: 28 Apr 2014)
Apple is the most greedy company in the world. Its better to put the money out there than being help up in the bank.
25. Ashoaib (Posts: 2506; Member since: 15 Nov 2013)
apple buy and use in their phone and still they are innovative... now beats will be their invention
33. InspectorGadget80 (Posts: 6815; Member since: 26 Mar 2011)
And a lot of people that buy beats only care bout brand NOT sound quality or price tag.
3. GoBears (Posts: 395; Member since: 27 Apr 2012)
Beats audio is a joke. Decent but overpriced headphones and the equalizer settings are horrible. To each their own though. Good riddance from Android as far as I'm concerned.
4. nexusdude (Posts: 151; Member since: 22 Aug 2013)
Beats suck. Overpriced trash with lower quality than studio headphones for less money.
5. NokiaFTW (Posts: 2058; Member since: 24 Oct 2012)
Now we will have overpriced iBeats accompanying overpriced iPhones in boxes.
7. The13thKing (banned) (Posts: 849; Member since: 26 Feb 2014)
There was a day I used to love apple. Well, the last 3 years really made me hate this company. It all started when I first owned a GS2 and saw the helluva difference between it and my iphone 4. today I'd really own anything android, but nothing iOS ...
12. Arte-8800 (banned) (Posts: 4562; Member since: 13 Mar 2014)
I've always disliked Apples business infrastructure
26. Martin_Cooper (Posts: 728; Member since: 30 Jul 2013)
So you you hate a company that doesn't make a product as good as you want it to be? So I am guessing you hate millions of companies worldwide. I really don't understand the hate for companies. Why is it so personal? You don't like iphones? Fine, get an android. Whats the point of hating. Competition is the only thing that keep innovation alive.
27. 0xFFFF (Posts: 3803; Member since: 16 Apr 2014)
People wanting things to be better is as old as people. Give the sanctimonious corporatism speeches a rest.
29. Martin_Cooper (Posts: 728; Member since: 30 Jul 2013)
Exactly, hating isnt helping anyone though. Competition is. And having only android phones just cause many people like them will reduce innovation. Hate is a very strong word thats used for very personal level. Some people have no idea.
8. aditya.k (Posts: 489; Member since: 10 Mar 2013)
Yeah. Now 16GB iPhone 6 will cost a 1500 USD. Now people can sell both their kidneys.
10. SIGPRO (Posts: 550; Member since: 03 Oct 2012)
Beats Audio sucks the quality is not that good!
HTC sold it's Beats share for 265 million dollars, now Apple want's to buy it for 3,2 billion!
If HTC still had shares they would be rich as hell!
14. Tsepz_GP (Posts: 866; Member since: 12 Apr 2012)
Congrats to the Doc of HipHop, it's STILL Dre Day! :D
He deserves every bit of this, be it $800mill or a billion!
As for Beats, an average product that is overpriced, I think it will fit right in at Apple! ;D
18. Ikechukwu (Posts: 149; Member since: 03 Oct 2011)
Hahahahahahahhahahahahaha Tyrese is funny Af!!!
19. papss (unregistered)
Love Dr. Dre
34. InspectorGadget80 (Posts: 6815; Member since: 26 Mar 2011)
HTC don't even have a billion to buy beats.
21. iampayne (Posts: 266; Member since: 12 Aug 2013)
Cook gets on internet, sees this video, cancesl deal in 3...2...1....
22. Ninetysix (Posts: 1733; Member since: 08 Oct 2012)
For some LOLz. Read the articles about HTC adding beats to their phones and compare them to this one :)
23. willard12 (Posts: 922; Member since: 04 Jul 2012)
For some, this is probably in respnse to HTC adding Beats to their phones and all the issues that made them sell their stake.
35. InspectorGadget80 (Posts: 6815; Member since: 26 Mar 2011)
Why is these talking instead of dre?
46. InspectorGadget80 (Posts: 6815; Member since: 26 Mar 2011)
my fault i mean why is TYRESE annoucning it when he's not the billionaire and Dre is.
40. TMach (Posts: 394; Member since: 29 Dec 2011)
Had the Beats Studio and left it at home whilst on my travels! Bought the Monster Inspiration at the airport (quite a bit cheaper too) and have never listened to music with my Beats Studio again. In fact, have given them to a work colleague! On airplane/train quiet coach my Monsters are my go to cans otherwise surgically attached to my Bowers & Wilkins P5. Yes, I know there are even better headphones out there but Beats are just so hyped and over rated IMHO
42. corporateJP (Posts: 2088; Member since: 28 Nov 2009)
Boy, you shoulda known by now...Eazy Does It!
45. Totse2k15 (Posts: 281; Member since: 11 Feb 2014)
Great for Dre. OT: "[F]uck wit Dre Day" is my favorite.
47. TrePharaoh (Posts: 38; Member since: 22 Oct 2013)
Most people that are saying that beats suck are apple haters. Their just mad that apple got to them first. Beats make good quality headphones although they are a little overpriced. I have a pair of beats mixr and they sound great. Most people consider them the best out of the bunch and they stack up great against the competition. Read reviews on them.
49. darkkjedii (Posts: 13548; Member since: 05 Feb 2011)
Well said, if google had bought Beats, they'd be in orgasmic bliss rite now.
52. Arte-8800 (banned) (Posts: 4562; Member since: 13 Mar 2014)
Google would never buy that pathetic hyped good for nothing company
Google is wise enough
53. 0xFFFF (Posts: 3803; Member since: 16 Apr 2014)
Beats is like the Monster Cable of headphones -- overpriced garbage sold via marketing that borders on fraud.
Google would never buy this crap. But if they were going to, I'm sure you'd see the same aghast response you are seeing with Apple's impending purchase.
One of the posters on macrumors.com simply wrote "Kill me" he was so disappointed with Apple buying such a crap company.
51. DnB925Art (Posts: 443; Member since: 23 May 2013)
MIXRs are the ONLY headphone that Beats makes that are decent. IMO they got lucky with them, as the rest of the Beats line are terrible, especially the Studios.
And I've been saying they suck was before Apple bought them. I'll stick to my Audio Technicas, SOL Republic Master Tracks XC, V-Moda and Sennheisser HD-25.
58. TrePharaoh (Posts: 38; Member since: 22 Oct 2013)
Not everyone cares or study's enough in to headphones to see what has the best sound. They want something that sounds good and are stylish. Beats are all I see in my state of Wisconsin because they're a popular brand and they're made by a legend. Look at Jordan shoes for example. People don't buy them because they're the best shoes to hoop in, they buy them because they're made by a legend, they're popular, and they're stylish. With that being said, apple was smart for buying beats because it will in the long run, garner them big profit because they have a extra stamp of another popular brand along with the apple.
55. ady_lad (Posts: 76; Member since: 17 Jul 2013)
Wrong...people have been saying that Beats suck for ages, even when they were partly owned by HTC...
50. dlionbench (Posts: 8; Member since: 07 May 2014)
getting stronger, acquiring here and there...