Payday for Andre Romelle Young! If the media mogul sells off his headphone and stereo accessories to APPLE, it may net him $3.2 billion.
Dr. Dre is making the rounds again with the Beats Audio.
The company was founded by rapper and hip-hop producer Andre "Dr. Dre" Young and Interscope-Geffen-A&M Records chairman Jimmy Iovine and primarily produces products under the brand "Beats by Dr. Dre". The company has also licensed audio technology to other companies for use in their own products, and also acquired MOG in 2012 to expand into the online music market.
From 2009 to 2012, its products were exclusively manufactured by the consumer electronics company Monster Cable. Following the expiration of its contract, Beats began to self-manufacture its products.
The New York Times reports that Apple is in discussions to buy Beats Electronics, the company behind the popular Beats by Dr. Dre headphones, for $3.2 billion, according to people briefed on the talks, in what would be the biggest acquisition in Apple’s history.
The deal would also include the new Beats Music streaming service, which was introduced in January as a competitor to Spotify and Pandora, and could signal an effort by Apple to transform its approach to music more than a decade after it opened the iTunes download store.
A deal has not been consummated, and the negotiations could still fall apart, according to these people, who declined to be identified speaking about it publicly. But if it is completed, the sale could be announced as early as next week, the people said. Apple and Beats declined to comment.
For Apple, whose revenue growth has slowed sharply in the last few years, the deal could point to a headlong move into the frontier of streaming music. The company, which only last year released its streaming product, iTunes Radio, has been slow to enter the streaming world.
A purchase of Beats would also give Apple a hot product and an even hotter brand, founded by the rapper Dr. Dre and the music executive Jimmy Iovine. After its enormous successes with the iPhone and iPad, Apple has been under intense pressure from investors to unveil new products, but none have yet been released.
Dr. Dre has shelved his final album Detox.
The media mogul recently loss established act Curtis "50 Cent" Jackson after years of delay of his sixth album Street King Immortal.
Aftermath Entertainment is the home of Dr. Dre, Eminem. rap producer Mr. Porter (aka Kon Artis) and Kendrick Lamar.