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Old May 22, 2014, 04:38 PM   #1
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Report Claims Beats Acquisition to Bring "Culturally Aware" Managers to Apple, Manage Subscription Music Transition




Bringing "culturally aware" managers to Apple is a big part of why Apple is interested in acquiring Beats, according to a new report from TechCrunch.

The piece claims that Jimmy Iovine and Dr. Dre are the big prizes at the company, and that it fits with Tim Cook's recent hiring of high-fashion managers like Angela Ahrendts from Burberry, wearable expert Ben Shaffer from Nike, and Paul Deneve from Yves St. Laurent.

Dre and Iovine have design and marketing savvy from Beats that could be significant for the company, which has struggled somewhat with its marketing efforts since Steve Jobs has passed away.
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A well-placed source has confirmed rumors that Apple's acquisition of Beats "is happening" but was close to falling apart multiple times. The source said with "70% certainty" that Apple's planned multi-billion acquisition of headphone maker Beats will go through. But Apple isn't buying Beats for the technology, they're buying the talent.

"They want Jimmy and they want Dre," said the source. "He's got fashion and culture completely locked up."
In a separate TechCrunch piece, a different reporter says Apple is looking to operate Beats as an external streaming music service to avoid cannibalizing its iTunes download business.

Reportedly, it's not that Apple is worried about losing its 30% cut of song downloads, but Apple launching a streaming music service could decimate the more than $1 billion that iTunes generates for record industry revenues.
Quote:
Because it's deeply conscious that pumps a lot of blood into the music industry. My source says iTunes execs started deeply considering streaming at least two years ago. They realized a sudden move for iTunes from downloads to streaming could lead to dark days for the record business, reducing musical inventory - and revenue - accordingly.
The piece argues that Apple may be looking to grow its streaming business on the side as iTunes music downloads drop, and that the company is looking to "bridge the download and cloud eras gracefully."

It says Apple executives are looking to strike a deal with record labels that would allow the company to sell a subscription music service for $5 per month, half of what Spotify charges, but with a higher cut of revenues.

Supposedly the acquisition will be announced soon, perhaps during Apple's Worldwide Developers Conference keynote on June 2.

Article Link: Report Claims Beats Acquisition to Bring "Culturally Aware" Managers to Apple, Manage Subscription Music Transition
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Old May 22, 2014, 04:40 PM   #2
NachoGrande
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Great I hope we get great design ideas like obnoxious over sized white head phones. That white leather jacket is wicked cool...
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Old May 22, 2014, 04:41 PM   #3
Dekema2
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What does "culturally aware" have to do with products...

I don't think everyone listens to rap, do they? I do a little, but still, there are a lot of genres!
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Old May 22, 2014, 04:41 PM   #4
JilzVT
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Still doesn't make sense. Why not just hire away the managers you want rather than buy the entire company?

They didn't buy Compaq to get Tim Cook.
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Old May 22, 2014, 04:41 PM   #5
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oh great, loving the way Tim Cooks is piloting Apple to some douche, image obsessed boutique! Damn it, just make magical products and most of us fanboys will be happy

PS cant wait for the Dr Dre Macbook, featuring the Snoop doggy keyboard - oh please kill me now!
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Old May 22, 2014, 04:43 PM   #6
Crosscreek
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I will be so culturally aware and cool my brain will explode.
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Old May 22, 2014, 04:43 PM   #7
xmichaelp
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Yesss, I've always though Apple needed some swag.

Really though, beats are trash and also trashy. They sounds and look like crap. That isn't culture.
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Old May 22, 2014, 04:43 PM   #8
needfx
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you're acquiring it wrong?
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Old May 22, 2014, 04:44 PM   #9
CL4W
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Does he not ever wear a hat? Just shave that bold spot of yours bro.
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Old May 22, 2014, 04:44 PM   #10
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-- removed by user --

Last edited by losthorse; Jul 15, 2014 at 09:23 PM.
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Old May 22, 2014, 04:44 PM   #11
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Old May 22, 2014, 04:45 PM   #12
wkadamsjr
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Quote:
Originally Posted by Dekema2 View Post
What does "culturally aware" have to do with products...

I don't think everyone listens to rap, do they? I do a little, but still, there are a lot of genres!
Well they do make white and black devices...
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Old May 22, 2014, 04:45 PM   #13
Ventilatedbrain
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Quote:
Originally Posted by NachoGrande View Post
Great I hope we get great design ideas like obnoxious over sized white head phones. That white leather jacket is wicked cool...
As much as I dislike the beats stupid headphones , you can't deny that these guys really brought the brand to public awareness
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Old May 22, 2014, 04:46 PM   #14
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Originally Posted by MacRumors View Post
Dre and Iovine have design and marketing savvy from Beats that could be significant for the company, which has struggled somewhat with its marketing efforts since Steve Jobs has passed away.
Oh, my brain hurts.
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Old May 22, 2014, 04:47 PM   #15
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Wow, that is a lot of money for (basically) two people.
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Old May 22, 2014, 04:48 PM   #16
tommyminahan
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Originally Posted by CL4W View Post
Does he not ever wear a hat? Just shave that bold spot of yours bro.
FTFY
Does he ever not wear a hat?

--
Also, Do you think he'll have a hat on when he takes his Apple Executive Headshot?

Last edited by tommyminahan; May 22, 2014 at 05:06 PM. Reason: added more
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Old May 22, 2014, 04:55 PM   #17
Benjamins
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lol how many different version of the same report have we heard already.

So when it's confirmed that it's all BS all along, they can just claim that the deal fell apart?
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Old May 22, 2014, 04:56 PM   #18
apolloa
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hahaha 'culturally aware' haha, it's like a parent trying to use the internet to be hip with their children hehe.

If there's ONE company that really doesn't need to be 'culturally aware' it's Apple! It's brand is so cool and hip with young people it's crazy.
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Old May 22, 2014, 04:57 PM   #19
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What. Was Steve Jobs the only "culturally aware" person at Apple ?
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Old May 22, 2014, 04:59 PM   #20
chrisbru
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I'd fall over laughing if at the start of the WWDC keynote the lights dimmed all the way and then we just hear...

"Caaaaaaaaalifornia looooove"

And then boom, Dre appears.
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Old May 22, 2014, 05:00 PM   #21
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I'm amazed the sheer amount of hate that's going on here.

But then again that's normal before anything big - the iPod was royally hated by MacRumors members when it came out, the whole internet thought that iPad was the stupidest name ever and it was "just a big iPod touch."

Something I've learned is that the more controversial an idea Apple has, the more likely it'll be a good decision :P
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Old May 22, 2014, 05:00 PM   #22
diddl14
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Still hoping this is just decoy for something really, really smart...
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Old May 22, 2014, 05:01 PM   #23
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Quote:
Originally Posted by losthorse View Post
Right, because when I think of Steve Jobs the first thing I think of is gangster rap and crappy headphones.

Maybe Apple should focus less on marketing and more on innovating.

amen!


Quote:
Originally Posted by xmichaelp View Post
Yesss, I've always though Apple needed some swag.
Really though, beats are trash and also trashy. They sounds and look like crap. That isn't culture.
lol!

maybe the image they are going for is:

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Old May 22, 2014, 05:01 PM   #24
bungiefan89
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Apparently, pushing a brand that emphasizes style over substance and getting endorsements from mainstream celebrities qualifies as "culturally aware."

God, this makes me sick.
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Old May 22, 2014, 05:04 PM   #25
tommyminahan
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Quote:
Originally Posted by johnnyturbouk View Post
amen!
lol!
maybe the image they are going for is:
Does he really sign his name vertically? that picture looks very weird...
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