Update: Apple Confirmed the Beats deal!

Update: Apple has just confirmed plans to purchase Beats Electronics for $3 billion. Which it will pay for with $2.6 billion in cash and $400 million in stock.

“I’ve always known in my heart that Beats belonged to Apple,” Iovine says in a statement. “The idea when we started the company was inspired by Apple’s unmatched ability to marry culture and technology. Apple’s deep commitment to music fans, artists, songwriters and the music industry is something special.”

Original Story: Yet another Acquisition story ?? This happens when some brand product was loved by another brand. Apple is rumored to be acquiring Beats Electronics for over $3.2 billion. Although, the purchase has not yet confirmed officially by either company, An actor called Tyrese Gibson uploaded a video suggests an announcement is close at the hand.

Rumors apart, Jimmy Iovine, Beats Electronics boss and veteran music industry executive are in talks to join Apple as a “special adviser” to Tim Cook on creative matters, two sources close to the talks tell The Post. Iovine, who is the co-creator of the Beats with partner Dr. Dre, is also chairman of Universal Music Group’s Interscope, Geffen and A&M labels, home to Lady Gaga and Eminem, among others.

Many of them are wondering why Apple is betting on an electronics company. Because, Apple has traditionally kept picking up small technology companies, not spending billions on an established brand.

The company’s largest acquisition till date NeXT, was for $400 million in 1996 and gave Apple the core of an operating system it still uses today. Which is also returned to Apple, Steve Jobs himself, who had founded NeXT after departing Apple in the 1980s.

We conclude this acquisition rumor by Apple is going to use Beats as a Hardware for Now, Streaming for Later thing. Keep an eye on this page about this interesting acquisition.

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