It’s OFFICIAL! Apple Buys Beats Electronics for $3 BILLION!

It’s OFFICIAL! Apple Buys Beats by Dre For $3 BILLION!

dr. dre billionaire

Apple is officially buying Beats for $3 billion, just shy of the rumored price of $3.2 Billion leaked a few weeks ago, the companies announced Wednesday.

Apple will pay $2.6 billion up front, plus another $400 million over time. Apple’s getting stylish hardware from Beats Electronics and a streaming service with Beats Music.

In a statement, CEO Tim Cook said the deal brings together “extraordinary teams so we can continue to create the most innovative music products and services in the world.”

Apple expects the deal to close in late summer or early fall.

Dr. Dre’s estimated stake in Beats by Dre is 20% to 25%.

Meanwhile, Iovine described the deal as a match made in heaven. He said the whole Beats concept was inspired by Apple’s perfect blend of culture and technology.

“I’ve always known in my heart that Beats belonged with Apple,” Iovine said in a statement.

Dre and Iovine are also joining Apple, so Iovine is stepping down from his perch as CEO of the record company Interscope Geffen A&M.

source: CNN

Dr. Dre and Jimmy Iovine Reportedly Selling Beats By Dre To Apple For $3.2 BILLION!

Congrats to Dr. Dre and Jimmy Iovine… they could be billionaires by the end of this month.

Dr. Dre 2012 Chrysler 300S picture

Apple could be close to making its biggest acquisition in the company’s history, offering $3.2 billion to purchase headphone maker Beats Electronics, which recently launched a streaming music service.

Should the deal close, it would mark a major payout for Beats founders and music industry icons Jimmy Iovine and Dr. Dre, who launched the Santa Monica, Calif.-based company in 2008. Its products were produced by Monster Cable until 2012, when founders bought back control of the company from Monster and mobile hardware maker HTC.

A deal could be announced next week, individuals close to the companies say.

Source: Variety