Apple has just announced that it has indeed, as per persistent rumours from the past weeks, bought Beats Electronics and Beats Music for a total of $3 billion.
With the company set to fork out a staggering $2.6 billion ($1.55bn) up front, the remaining $400 million (£239m) to be vested over time.
Apple’s CEO, Tim Cook said “
The official press release makes specific mention of Beats patents, as well as the headphones and music services. So perhaps the firm is sitting on some technology that has some huge value for Apple.
However, no matter how you look at it, this is an enormous deal, and a lot of money. Although, given Apple’s cash stockpile, it’s really chump-change.
Apple also mentions adding the streaming service into Apple’s portfolio along with its own, free iTunes radio. Perhaps then, the firm is planning a multi-tiered approach to music streaming.
The deal will officially close in Q4 this year, subject to regulatory approval. We can’t see anyone having much of a problem with it, beyond saying “$3 billion, are you QUITE sure about this?”.
Next, read what to expect from the iPhone 6