According to a report, Apple is planning to acquire the music company Beats Electronics that was the firm behind Beats by Dre headphones, for $3.2 billion and the company could announce the acquisition as early as next week.
The news regarding the Apple and Beats Electronics was first reported by Financial Times which cites source as people familiar with the deal. If the deal closes successfully, then it will be Apple’s largest acquisition ever.
In 2006, music producer and rapper Dr. Dre co-founded Beats Electronics along with the music mogul Jimmy Iovine. The company came to mainstream after launching high-end headphones and portable speakers. The company has also launched its premium music streaming service Beats Music in January 2014 that competes with Apple iTunes, Spotify and other similar services.
Earlier, Beats Electronics had successfully partnered with Taiwanese smartphone-maker HTC for marketing and sold millions of headphones and later the deal was discontinued and last year Beats announced to buy the remaining stakes from HTC for $265 millions.
If this deal happens, then Apple CEO Tim Cook is planning a different strategy for the company’s future – rather than technology providers to incorporate into Apple’s products, this will be the first ‘established brand’ acquisition by the company. Will Apple bring the next-gen iPhone with the Beats’ taste? Stay tuned for more updates o this story. Post your opinions in the comments field below.