IT'S OFFICIAL: Apple Acquiring Beats for $3B
Apple confirmed Wednesday that it will, indeed, acquire subscription streaming music service Beats Music, and Beats Electronics, which makes the Beats headphones, speakers and related audio software.
Contrary to expectations, Apple issued a formal statement regarding the purchase.
As part of the acquisition, Apple says, Beats co-founders Jimmy Iovine and Dr. Dre will join Apple. Consistent with market projections, Apple is acquiring the two companies for a total of $3 billion.
“Music is such an important part of all of our lives and holds a special place within our hearts at Apple,” said Tim Cook, Apple’s CEO. “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.”
“I’ve always known in my heart that Beats belonged with Apple,” added Jimmy Iovine in the same release. “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.”
More info about the purchase of Beats is expected next week as Apple kicks off WWDC 2014.