Congratulations Dr Dre. Apple Offer To Buy Beats By Dre For $3.2 Billion Deal
Music mogul Dr. Dre could be sitting on a billion in the near future as reports claim mega technology company Apple is interested in making a bid for Beats By Dre.
Details of the potential mega deal surfaced online Thursday (May 8).
Apple is set to acquire headphone maker and music company Beats Electronics for a reported $3.2 billion. The acquisition could be announced as early as next week, the Financial Times reported, based on people familiar with the negotiations. USA TODAY independently confirmed the deal through a source who is not authorized to speak publicly about it. (USA Today)
Reports claim Apple retail outlets have sold Beats over the years.
The Apple retail stores have been selling the Beats headphones with the “b” logo almost since their invention, and have scored substantial space on the stores’ wall shelving. In fact, according to the privately-held Beats, it has a 51 percent share of the $1 billion premium headphone market (over $100). Beats COO Luke Wood has even claimed the company created the market for premium headphones back in 2008. Some of Beats over-the-ear models are priced at $450, while earphones are priced down to $90. (Forbes)
Dre’s Beats headphones company helped land him a top three spot on Forbes’ “World’s Highest Paid Hip Hop Artists” list behind Diddy and Jay Z last year.
Hip-hop’s net worth king claims his first annual earnings crown thanks mostly to the success of Ciroc vodka. Other ingredients in his cash cocktail: record label Bad Boy, clothing line Sean John and, soon, cable channel Revolt. Lost his hyphen but gained double-digit millions from lucrative live shows, Armand de Brignac champagne, D’Ussé cognac, Roc Nation label/management firm and other ventures. Last year’s Cash King slips two spots, no longer boosted by a nine-figure payout for selling part of Beats by Dr. Dre in 2011. But he’s still cashing in on the ubiquitous headphones, expanding the company he founded with Interscope chief Jimmy Iovine to include a long-awaited streaming music service. (Forbes)
Credit Source: SOHH/USA TODAY