Apple Announces $3 Billion Beats Acquisition, Jimmy Iovine and Dr. Dre Joining the Company

[Karma*Police]

Time will tell. I wonder is Eddy is nervous about his role? Smile seems forced. : )

He should be. iTunes hasn't gotten anywhere under his watch while a tiny company like Beats created what Apple believes is the best music subscription service.

If Eddy had any vision whatsoever, Apple would have its own music subscription service ready to go for WWDC. In fact, they should have announced it last year. Instead, he cost Apple and its shareholders $3B by sitting on his arse, milking the system that Steve built.

 

[flatfoot99]

No. I have my opinions. Don't assume anything about.my political stance OK? Unfortunately the Republican party is basically full of anti-rights extremists.

Yes they are... anti-crime, anti-drugs, anti-abortion, anti-slavery

 

[flat five]

Idk just ask yourself what type of person beats headphones are marketed to and ask yourself if that fits with Apple's classy brand. Do a lot of highly educated people wear beats headphones?

i can't quite tell if you're leaning towards a misunderstanding of who beats is marketed to -or- if you have an over-glorified interpretation of apple's classiness.. but probably a combo of both.

re: marketing..
explain how these two commercials are targeting different groups.. one being the ghetto group and one being the classy group.. which one is which?

 

[Rogifan]

I think Apple will regret working with Iovine and Dre when all is said and done. It sounds like they have musical smarts but no class.

Most of us on this board would have the common sense not to insult a company's products in public shortly after said company inked a three billion dollar deal with us.

It sounds like Iovine is acting like having three billion dollars from Apple suddenly makes him the king of 1 Infinite Loop. Sooner or later, someone on the Executive Team will put Iovine in his place.

Yeah that was not very smart. And especially rich coming from someone who makes headphones that many people consider overpriced crap.

 

[JGowan]

I think Apple certainly wanted a music subscription service, first and foremost, HOWEVER, I think this deal is equally important to Apple because it keeps BEATS being bought by Google or Microsoft. Sometimes you buy to keep the competition from having a shot at the company.

 

[Rogifan]

He should be. iTunes hasn't gotten anywhere under his watch while a tiny company like Beats created what Apple believes is the best music subscription service.

If Eddy had any vision whatsoever, Apple would have its own music subscription service ready to go for WWDC. In fact, they should have announced it last year. Instead, he cost Apple and its shareholders $3B by sitting on his arse, milking the system that Steve built.

Eddy said tonight that Apple has been thinking about subscription music for a long time.

 

[Arndroid]

Isn't Apple starting to feel like a company motivated primarily by the bottom line financial number? Doesn't the creation of high quality products feel secondary to ultimate profit? I mean, think about it. Meetings with Carl Icahn, institution of a dividend, stock splits, large billion dollar acquisitions of companies that seem to go against the "culture" already created with the brand.. That is what makes me scared about all of this.

3 billion dollars for a company that is actually profitable is a drop in the bucket to Apple. I have no doubt that Apple is going to make its money back on this acquisition. But it is the other stuff that is making me nervous. I really hope that Tim Cook is not fixated by the bottom line and is committed to continuing to cultivate a great "brand" that does not cater to any outside interests. That was the genius Steve Jobs tapped into. That is what made Apple different. The further away Apple gets away from that vision will be the beginning of eventual significant decline IMO.

You are scared because as a massive multi national corporation apple has a ton of legal and regulatory responsibilities, and they are taking care of those things?

Seems like a crazy thing to be worried about. It is a requisite for apple. It is not like they have a choice and can just ignore it. It is the devil's trade off for becoming a public company and having a large global presence to boot.

This is akin to being worried about what is happening to your child and their education because their school starts each period at the same time every day.

Apple employs different people to handle this stuff. The CFO is not also in charge of new product development. The SEC compliance staff does not also code updates to Mavericks.

 

[snailpost]

The only thing that is not mentioned much is the Beats pricing.

Seriously where do all these teens (apparently their new target group as you say) find the money to purchase Beats. I would never pay that kind of money for headphones. Monster cables anyone?

 

[DavidG328]

Yeah that was not very smart. And especially rich coming from someone who makes headphones that many people consider overpriced crap.

Instead of just crap that comes with the phone. I agree that maybe that wasn't the best idea for him to throw that out there though, but he's right.

 

[Flight Plan]

Am I the only one or has anybody else here AVOIDED the Beats headphones solely because Dr. Dre's name is on them?

I don't know the guy from Adam and thusly don't care. But putting somebody's unknown (to me) name on ANY product is not only not a selling point; it's a reason for me to actively avoid.

Like that guy who puts his name on all the movies he makes, or making an Eddie Bauer version of the Ford Explorer. Ugh, stop gagging me.

 

[Reds622]

So how do we think this went tonight with Recode? My impression seems to be leaning towards ok, to not great. While the pods that come with the Iphone are not Shures, or some other respectable brand, they certainly aren't terrible by any means. In fact, they are probably the best headphones in its price range out there, or close to it. Strange to get a dig in on something thats included with your highest selling product.

Also interesting that Cue decided to pretty raise the stakes by proclaiming that Apple's upcoming product lineup is the best he has seen in his 25 years. Now, whether that means that adding Anything new to the existing lineup makes it the best he has seen, or if he was talking specifically about only the new products upcoming, there should be increased expectations. I do not think the upcoming wearable device from Apple will be more important, and as significant as the Iphone. Thus, there better be something quite large in the near future or there is no way Apple will not experience a hit in the stock market.

I wasn't sure about this Acquisition before Recode tonight, although I am sure Beats will not be financially damaging in the slightest and probably make Apple more money, but I am not sure if this will be extremely beneficial to Apple in the long term especially if they decide to acquire companies and have interviews with their co-founders who proceeds to insult products that took a lot of hard work to create.

This also seems to be a move by Tim Cook and Apple to try and expand into the Urban markets. Hey, lets go buy a company that is particularly popular in the Hip-Hop and Urban community, in order to make more money and profit. That is a rather strange direction to be taking here. It almost feels like corporate manipulation. Fire away folks

 

[Rogifan]

Instead of just crap that comes with the phone. I agree that maybe that wasn't the best idea for him to throw that out there though, but he's right.

I know plenty of people who love their Apple earpods. Of course they're not audiophiles. But earpods aren't expensive like Beats either. Anyway you don't insult your new employer first day on the job.

 

[mojolicious]

Am I the only one or has anybody else here AVOIDED the Beats headphones solely because Dr. Dre's name is on them?

I don't know the guy from Adam and thusly don't care. But putting somebody's unknown (to me) name on ANY product is not only not a selling point; it's a reason for me to actively avoid.

Like that guy who puts his name on all the movies he makes, or making an Eddie Bauer version of the Ford Explorer. Ugh, stop gagging me.

I actively avoid buying any Ford vehicle. Henry is unknown to me; for all I know he might even be dead.

 

[snailpost]

Am I the only one or has anybody else here AVOIDED the Beats headphones solely because Dr. Dre's name is on them?

I don't know the guy from Adam and thusly don't care. But putting somebody's unknown (to me) name on ANY product is not only not a selling point; it's a reason for me to actively avoid.

Like that guy who puts his name on all the movies he makes, or making an Eddie Bauer version of the Ford Explorer. Ugh, stop gagging me.

Nothing against Dr. Dre, I mean he has done well for himself but..
next year Apple should buy SMS by 50 cent headphones

 

[Arndroid]

Somehow I feel most of the posts in this thread are hating on Dre for being black.....even in 2014....

I also watched the video of him, Tyrese and others celebrating, but thats normal, someone saying the F word a few times while being excited doesn't make them unprofessional.

Btw beats was already a billion dollar company (didn't say multibillion) so its always been on a good path since it launched.

Anyway I think apple bought beats because they already have licensing deals with record labels and artists which I'm sure cost millions if not billions on its own just to acquire and setup with all the legal issues involved. Buying a package deal included with beats, is only going to benefit apple's ecosystem.

Yeah it seems some of these comments would have been the same towards Dr. Huxtable as Dr. Dre

 

[throys]

So Facebook can buy what's app and Instagram for over exaggerative amount but a sleazy $3b buy from apple makes the news with so much debate. I'm glad for this deal and looking for something new been incorporated with it to our existing service and hardware from Apple.

 

[flat five]

The only thing that is not mentioned much is the Beats pricing.

Seriously where do all these teens (apparently their new target group as you say) find the money to purchase Beats.

parents

(you know, the same people that buy every other thing that are marketed towards their kids.. shoes, movies, toys, clothes, food.. kids are expensive )

 

[DavidG328]

Am I the only one or has anybody else here AVOIDED the Beats headphones solely because Dr. Dre's name is on them?

I don't know the guy from Adam and thusly don't care. But putting somebody's unknown (to me) name on ANY product is not only not a selling point; it's a reason for me to actively avoid.

Like that guy who puts his name on all the movies he makes, or making an Eddie Bauer version of the Ford Explorer. Ugh, stop gagging me.

What brands of clothes do you wear? I'm just curious.

 

[snailpost]

parents

(you know, the same people that buy every other thing that are marketed towards their kids.. shoes, movies, toys, clothes, food.. kids are expensive )

You are right sir, I suppose I am guilty myself for buying them LEGO's lol
What I find funny though is when driving to work through tough/poorer neighbourhoods thats where I see most of the Beats. I guess people skip meals in order to have Beats.

----------

Breaking news!

Samsung to buy SMS by 50 cents.

 

[mcdj]

Rome didn't collapse in a day.

 

[trife]

So is Apple doomed?

What say you, couch surfing CEOs?

 

[Brucewaynnee]

If you notice in the picture Tim is covering his iWatch! Btw I never knew Tim was such a swole guy.

 

[mojolicious]

So is Apple doomed?

What say you, couch surfing CEOs?

Absolutely.

I'm divesting my fictitious portfolio of all my fictitious Apple stock with immediate effect.

 

[Flight Plan]

I'm just waiting for Apple to rename it to iBeat and then use Siri to give voice commands for turning it off and on..

Then my life will be complete when I walk around town and hear everyone telling their phone, "iBeat off"

Funniest post I've read today!

People on these forums like to bitch. They have no idea what this acquisition means but they are certain it's a bad one. This is good for apple and will give apple a major player in music/tv negotiations.

People are certain "it's a bad one" because it probably is. Sometimes common sense is accurate, and this is the case with acquisitions.

Over 60% of all mergers/acquisitions actually ARE bad, and do not generate increased shareholder value. More than 60% of the time, the combined company is worth less than the sum of the two pre-merger companies, all within just a year.

Seriously, just look at the bank mergers, the drug company mergers, the car company mergers, the computer company mergers, and the utilities, software companies, and any tech firms in the last 10 years. Most mergers saw decreased value just a year later, and VASTLY DECREASED value 5 years later. Gateway Computers, anybody? Too busy working on your Compaq?

Somebody once told me he starts looking to sell his stock when the company decides to get bought out, or to buy somebody else. Why? Why not, he told me; they don't think highly enough about themselves to keep the business going. They're looking for the exit, so maybe I should too!

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What brands of clothes do you wear? I'm just curious.

Hmmm, good question. I don't know. If the label is on the outside, I remove it or don't buy that item. If the label is on the inside, I can't see it. I generally don't buy printed shirts or jackets.

I would love it if auto manufacturers had an option for no badges. I'd love to have a Lexus without any badges. Even a MacBook Pro without the glowing Apple logo would be nice.

 

[DavidG328]

Hmmm, good question. I don't know. If the label is on the outside, I remove it or don't buy that item. If the label is on the inside, I can't see it. I generally don't buy printed shirts or jackets.

I would love it if auto manufacturers had an option for no badges. I'd love to have a Lexus without any badges. Even a MacBook Pro without the glowing Apple logo would be nice.

Well if you don't know, then I guess you stick to it. I too hate brand names written on clothing (tags are fine). You can easily remove the badges from your car. People do it all the time. For the grill though, you'll have to seek out a replacement, which may add up.