Apple Impressed by Beats' Ability to Attract Paid Subscribers, Likely to Keep Brand Separate

[yinz]

Time will tell. I hope, for the sake of my AAPL stock, that my concerns are not justified.

This guy says it a lot better than I do. Check out this youtube video. I like this guy.

https://www.youtube.com/watch?v=Vq0_e5m3hg0

 

[Rogifan]

I’m still not discounting the fashion aspect to this. Maybe Apple executives have decided to go all in on “affordable luxury” knowing they’ll never be able to compete in the race to the bottom (e.g. Motorola’s new $129 Moto E phone). In order to do that your products have to be stylish, have to be something people lust after. How much of that can be done with technology alone? Also if Apple has big plans in the wearable space (beyond just a smart watch or FuelBand type device) fashion will play a huge part. Perhaps Apple will use the Beats brand to kick start a wearables line? I’m still skeptical about this deal and even more skeptical that it’s about Beats streaming service. Apple could have easily waved a ton of money at Jimmy Iovine to get him to join Apple and build the future of iTunes, negotiate content deals, etc.

 

[Uofmtiger]

I’m still not discounting the fashion aspect to this. Maybe Apple executives have decided to go all in on “affordable luxury” knowing they’ll never be able to compete in the race to the bottom (e.g. Motorola’s new $129 Moto E phone). In order to do that your products have to be stylish, have to be something people lust after. How much of that can be done with technology alone? Also if Apple has big plans in the wearable space (beyond just a smart watch or FuelBand type device) fashion will play a huge part. Perhaps Apple will use the Beats brand to kick start a wearables line? I’m still skeptical about this deal and even more skeptical that it’s about Beats streaming service. Apple could have easily waved a ton of money at Jimmy Iovine to get him to join Apple and build the future of iTunes, negotiate content deals, etc.

I am skeptical about streaming being the main reason for this possible transaction, too. Beats bought MOG for a reported 14 million two years ago. Paying 3.2 billion for a brand new streaming service seems out of whack. Apple is in a unique position to start their own streaming service for a lot less money already. It isn't like they are starting from scratch in the music industry.

I think this fits into their wearable line somewhere that adds value to things Apple is already offering or plans to offer. Otherwise, I can't see where the price tag makes much sense.

 

[Moopy Sac]

A bunch of audio snobs criticizing the best selling (and best sounding) premium headphones on the market? Elitists need to get over themselves and judge Beats by their near flawless sound, not the name on the box.

 

[fmaxwell]

In order to do that your products have to be stylish, have to be something people lust after. How much of that can be done with technology alone?

So far, Apple has done it with style and technology, producing beautiful designs wrapped around class leading technology. The Museum of Modern Art's has many Apple computers, as well as peripherals, a Newton, and an iPod, in its collection.

I’m still skeptical about this deal and even more skeptical that it’s about Beats streaming service. Apple could have easily waved a ton of money at Jimmy Iovine to get him to join Apple and build the future of iTunes, negotiate content deals, etc.

I am in complete agreement with you.

 

[fmaxwell]

A bunch of audio snobs criticizing the best selling (and best sounding) premium headphones on the market? Elitists need to get over themselves and judge Beats by their near flawless sound, not the name on the box.

If you think that Beats have "near flawless sound," you are hearing impaired.

Beats By Dre are as close to being "premium headphones" as Olive Garden is to being fine Italian dining.

"Audio snobs"? "Elitists"? Like the elitist, audio snobs at Consumer Reports? Are they also 'elitist toilet paper snobs' because they gave your favorite brand of toilet paper a low score?

In almost almost every category there are lower-priced models that offer the same, and sometimes better, sound quality. So if sound quality is your only consideration, choose one of those models rather than a Beats set.

Or were you talking about the elitist audio snobs at The Huffington Post who published the article Face The Music: Beats By Dre Headphones Are 'Extraordinarily Bad'?

People with decades of audio experience, including professional reviewers of both audio and general consumer products, have stated that Beats headphones sound bad. Therefore, they do. Combative, ill-informed responses from unqualified people like you are neither welcome nor appropriate.

 

[LouieTheLug]

What up g ?

Firefox/John Q Public effectively ousted it's CEO for donating $500 to a cause against gay marriage.

I wonder what Apple, a historically progressive company will do about Dr. Dre making millions glorifying homophobia and misogyny?

"Long as my mother****ing pockets was fat
I didn't give a **** where the bitch was at
But she was hangin' with a white bitch doin' the **** she do
Suckin' on his dick just to get a buck or two"

Just food for thought...!!!!!!

 

[MrXiro]

And the fashion statement is that you look an utter tool for wearing them to 90% of folk. So its a lose lose really.

Well I don't own any... but I think visually the design is very nice on the Beats line, quite possibly one of the best designed headphones, to each their own though, I guess.

Personally, I wouldn't spend 300+ dollars on a pair of consumer grade headphones of any kind, but if you've got some hard on to hate the Beats brand, that really is your problem, not headphone's owner.

 

[SlCKB0Y]

If - and it's a big if - they are buying Beats,

I can't see how it's a "big if" at this stage of things - except to hardcore Apple fans who wan't to pretend like this isn't happening...

 

[darcyjames]

Originally Posted by viacavour
Yap, the radio station model is pretty limited, and serves to upsell itunes songs. You cannot skip more than 6 songs within the hour.

The Beats model is more liberating. The user has more control.

Since when is this an Apple concern?

Apple had to drag the record companies kicking and screaming into the single song purchase model. They have definitely had success recognizing what the consumer will ultimately want.

 

[linuxcooldude]

Originally Posted by Mattsasa View Post
What gap needs to be filled? Can someone explain to me how beats music is filling a gap?


Wait about 6 months AFTER this acquisition and then ask this same question again. The faithful will swing from shock, despair, junk, "I can't believe Apple would buy Beats" to coming up with a good-sized bag of spin why this was a brilliant move, how much better Beats equipment sounds now (even if it doesn't change one bit) and so on.

You still didn't seem to say exactly how beats fills this gap. You went on to say how Apple is going to provide beats with better quality audio. Not the same thing. Apple does not need beats to design premium headphones.

Example? Think of the collective view of AT&T before iPhone and then after. AT&T got an Apple halo effect from the "endorsement" by Apple. Same thing here.

You are talking a much different scenario. The partnership between AT&T & Apple was beneficial to both of them. Apple needed an already existing mobile phone provider as they were not looking to get into the mobile service business. Plus to initially subsidize the high cost of the iPhone to something users could afford.

The buyout of Beats by Apple makes an odd pairing.

 

[dannys1]

Well I don't own any... but I think visually the design is very nice on the Beats line, quite possibly one of the best designed headphones, to each their own though, I guess.

Personally, I wouldn't spend 300+ dollars on a pair of consumer grade headphones of any kind, but if you've got some hard on to hate the Beats brand, that really is your problem, not headphone's owner.

Its not just me, everyone is laughing at them and rolling eyes. Its like wearing a hat that reads "I'm a gullible idiot".

 

[TWSS37]

Originally Posted by viacavour
Yap, the radio station model is pretty limited, and serves to upsell itunes songs. You cannot skip more than 6 songs within the hour.

The Beats model is more liberating. The user has more control.



Apple had to drag the record companies kicking and screaming into the single song purchase model. They have definitely had success recognizing what the consumer will ultimately want.

Uh - consumers are flocking to streaming music platforms, where Apple is the one kicking and screaming to hold onto their iTunes model which is floundering in comparison. So no, your statement of "definitely had success recognizing what the consumer will ultimately want" is not applicable here (and debatable in other areas -s ee: screen size).

 

[MrXiro]

Its not just me, everyone is laughing at them and rolling eyes. Its like wearing a hat that reads "I'm a gullible idiot".

It's fashion... wouldn't the same apply to anyone who wears; Nike/Reebok sneakers, DKNY/Armani clothing, STARter Hats, Tommy Hilfiger/Sean John Jeans or god forbid carry around an product... that's just immature thinking.

Maybe you hide the Apple Logo of your computer and or iPhone?

I mean unless you wear all label free clothing and don't buy anything of brand name, you're really in the same boat as these so called "gullible idiots".

 

[dannys1]

It's fashion... wouldn't the same apply to anyone who wears; Nike/Reebok sneakers, DKNY/Armani clothing, STARter Hats, Tommy Hilfiger/Sean John Jeans or god forbid carry around an product... that's just immature thinking.

Maybe you hide the Apple Logo of your computer and or iPhone?

I mean unless you wear all label free clothing and don't buy anything of brand name, you're really in the same boat as these so called "gullible idiots".

Well, no not really. Because we know that an Apple laptop really is the best laptop you can buy on the market. Where as clued up people know Beats by Dre headphones are absolutely horrible marketing crap. Thats where the gullibility comes from.

 

[MrXiro]

Well, no not really. Because we know that an Apple laptop really is the best laptop you can buy on the market. Where as clued up people know Beats by Dre headphones are absolutely horrible marketing crap. Thats where the gullibility comes from.

A few android users would disagree about your statement in regards to iPhones. Same goes people who use hard core gaming machines... I'm an all Apple user but there isn't a Mac that could compare with a hardcore gamer's Windows PC. That person would look at you or I as an "idiot" for paying the "apple tax".

It really is all relative.

Being a big headphone-phile since I was 18 I've tested close to 60 pairs in my time. The Beats don't sound "bad" they just don't sound "$300 good". But looking around IMO they are the sleekest looking things on the market today. No Sennheiser, Sony, Bose, nor Shure headphone has the sleek look as a Beats. Just as there is hardly a Windows PC that looks as good as a Mac... at least until they are copied.

 

[dannys1]

A few android users would disagree about your statement in regards to iPhones. Same goes people who use hard core gaming machines... I'm an all Apple user but there isn't a Mac that could compare with a hardcore gamer's Windows PC. That person would look at your or I as an "idiot" for paying the "apple tax".

It really is all relative.

Being a big headphone-phile since I was 18 I've tested close to 60 pairs in my time. The Beats don't sound "bad" they just don't sound "$300 good". But looking around IMO they are the sleekest looking things on the market today. No Sennheiser, Sony, Bose, nor Shure headphone has the sleek look as a Beats. Just as there is hardly a Windows PC that looks as good as a Mac... at least until they are copied.

Well I never mentioned iPhones and I said MacBooks, I was referring to Apples Macbook range which is easily the best laptop on the market.

Irregardless, this is nothing like an Android vs Apple type agreement or a vague matter of taste - these headphones are hugely ridiculed by the majority of people, you are perhaps not aware of it, maybe its not as much of a joke in LA. If you think the design or not of them is good/bad (i'm pretty in different, I think they're a bit plastic and tacky, but there are much better look based headphones out there like the Marleys) its irrelevant the laughs are at the expensive of the brand, like when delinquent youths in the UK all wore Burberry and now North Face. I'll stick to my Focal Spirit Professionals safe in the knowledge I have a fair superior headset

This always made me laugh though - http://i24.photobucket.com/albums/c...8_168188973330550_515838466_n_zps66a01776.jpg

 

[MrXiro]

Well I never mentioned iPhones and I said MacBooks, I was referring to Apples Macbook range which is easily the best laptop on the market.

Irregardless, this is nothing like an Android vs Apple type agreement or a vague matter of taste - these headphones are hugely ridiculed by the majority of people, you are perhaps not aware of it, maybe its not as much of a joke in LA. If you think the design or not of them is good/bad (i'm pretty in different, I think they're a bit plastic and tacky, but there are much better look based headphones out there like the Marleys) its irrelevant the laughs are at the expensive of the brand, like when delinquent youths in the UK all wore Burberry and now North Face. I'll stick to my Focal Spirit Professionals safe in the knowledge I have a fair superior headset

This always made me laugh though - http://i24.photobucket.com/albums/c...8_168188973330550_515838466_n_zps66a01776.jpg

That is a funny pic! But I still like the design of the Beats over the other two pair. I own quite possibly the ugliest pair of headphones but one of the best sounding in it's class the Grado SR-80s that I picked up 15 years ago.
http://www.amazon.com/Grado-Prestige-Series-SR80i-Headphone/dp/B0055P9K38

When you wear those you look like you have Antennas!

The Beats have a look that remind me of (low end) sports cars I think. While old school headphones have more of a dirty motorcycle look.
Might just be an age thing. I'm certainly not "youth" (mid 30's) but my tastes do skew towards the younger generation's stuff... no North Face or Burberry for me though... though I think my much younger sister was once into North Face gear.

 

[darcyjames]

Uh - consumers are flocking to streaming music platforms, where Apple is the one kicking and screaming to hold onto their iTunes model which is floundering in comparison. So no, your statement of "definitely had success recognizing what the consumer will ultimately want" is not applicable here (and debatable in other areas -s ee: screen size).

Uh, I agree with your first statement, but I guess my point must have escaped you. You do remember what things were like before iTunes existed, right? i.e. Napster

 

[WallToWallMacs]

That's why it is called "MacRumors"...

But why buying this overprized and underperforming headphones? if Apple wants good headphones there are better ones out there. Way better ones. So, its the streaming thing? Why not buying Pandora or Spotify then, the latter would make so much sense. Link with a button to buy directly from iTunes if you like a song, maybe with a small discount if a Spotify subscriber. Huge user base to win over to iTunes.

Or -why not changing iTunes into a streaming service as well, they have got all the music already, I guess need to renegotiate rights but which company would say to Apple "no, you didn't succeed in music business before so why should we..."

Maybe a rumor after all.

And yet Macrumors editors keep putting up story headlines as though Apple has already bought beats. For once it would be nice for Macrumors editors not to use misleading headlines to generate traffic.

 

[Hurda]

A bunch of audio snobs criticizing the best selling (and best sounding) premium headphones on the market? Elitists need to get over themselves and judge Beats by their near flawless sound, not the name on the box.

I just had to upvote this.

Beats and "near flawless sound", hilarious.