Apple to acquire Beats for $3 Billion | Here’s everything you need...

Apple to acquire Beats for $3 Billion | Here’s everything you need to know about the deal!

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Apple is all set to acquire the famous subscription-based streaming music service – Beats Music, along with Beats Electronics that is credited for the manufacture of the critically acclaimed Beats Headphones, audio software and speakers, for $3 Billion.

Talking about the new addition, Tim Cook, CEO, Apple, said, “Music is such an important part of all of our lives and holds a special place within our hearts at Apple. That’s why we have kept investing in music and are bringing together these extraordinary teams so we can continue to create the most innovative music products and services in the world.”

“Apple’s history in music began with selling Macs to musicians. That remains important to us today, but we also bring music to hundreds of millions of customers with iTunes, which is at the forefront of the digital music revolution. Music holds a special place in our hearts at Apple, and we know that we can make an even bigger contribution to something that is so important to our society,” he elaborated further in a letter that was sent out to all the employers of the company, highlighting the reason for Beats’ acquisition, which was first published in 9to5 Mac.

Apple has carefully stayed away from billion dollar takeovers and hence, the deal with Beats is being claimed as their biggest ever. This brings together the founders of Beats – Dr. Dre, the renowned record producer & rapper, and Jimmy Lovine, Chairman, chairman of Interscope Geffen A&M –  who’d be working closely with Eddy Cue, Apple’s executive in charge of Internet services.

“I’ve always known in my heart that Beats belonged with Apple,” Jimmy Iovine was quoted saying, “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.”

Beats ‘b’ that was set up in 2006, quickly became a premier name in the headphone market, which was endorsed by music celebrities like Lady Gaga, Lil Wayne and Nicki Minaj, who designed their customized audio gears. Soon, it was also joined by street artists and fashion designers like Alexander Wang, Futura and Snarkitectur, who gave their contribution in making limited edition products for the company. Various atheletes like Serena Williams, LeBron James and Neymar, were seen swearing by the quality of Beats and the critical role it played in their game day process and training.

On the other hand, it is to be noted that Apple alsready offers iTunes that started in 2003, as a source of enjoying and organizing your music. The idea of iTunes was laid by Steve Jobs, the former CEO, who passed away three years ago.

While being quoted in “The Perfect Thing”, a book by Steven Lucy, about iPod and iTunes, Jobs mentioned,“When we first approached the labels, the online music business was a disaster. Nobody had ever sold a song for 99 cents. Nobody really ever sold a song. And we walked in, and we said, ‘We want to sell songs à la carte. We want to sell albums, too, but we want to sell songs individually.’ They thought that would be the death of the album.’

The details of the products that Apple intends to work on with Beats has not released, however, Cook assures that these will be “products you haven’t thought of yet, and seeing around the next corner to articulate the way to take music to an even higher level than it is now.”

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