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Beats buyout may take a little longer than expected, could be finalized next week

Last week it was reported that Apple was in final talks to acquire Beats Electronics for over $3 billion, and that the buyout would be completed by this week. Now a new report from Re/code indicates that the deal may take a little longer than initially expected. According to Re/code’s sources, the deal may not be finalized until next week.

Beats cofounders Dr. Dre and Jimmy Iovine are expected to join Apple’s executive team after the acquisition and will reportedly appear onstage at WWDC next month. While Apple hasn’t given any indication of why it’s interested in buying the company, it’s not hard to conclude that its iconic headphones and new music streaming service both have big potential as part of Apple’s future. Dre and Iovine both also have connections to the music industry that could benefit Apple greatly.

It seems we’ll have to wait a little longer to find out exactly what Apple plans to do with its latest acquisition.

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Comments

  1. Not going to lie, I’m pretty excited about this.
    Hoping Dre and Iovine come out for a ‘One more thing’ at WWDC and create some buzz.

  2. Tallest Skil - 11 years ago

    Like CLOCKWORK.

    Rumored product isn’t happening at all? “IT’S JUST BEING DELAYED.” Rumored purchase isn’t happening? “ANNOUNCEMENT PUSHED BACK.”

    It’s as though we haven’t learned not to trust analysts.

  3. iPadCary - 11 years ago

    Why in God’s name ARE THEY DOING THIS?!?
    #TimMustGoNOW

    • MaRico NoHands Spikes - 11 years ago

      It’s not just Tim Cook, it’s Apples Board too,

      Arthur D. Levinson, Ph. D.
      Chairman of the Board, Apple
      Chairman and former CEO
      Genentech

      Bill Campbell
      Chairman and former CEO
      Intuit Corp.

      Tim Cook
      CEO
      Apple

      Millard Drexler
      Chairman and CEO
      J. Crew

      Albert Gore Jr.
      Former Vice President of the
      United States

      Robert A. Iger
      Chairman and CEO
      The Walt Disney Company

      Andrea Jung
      President and CEO
      Grameen America, Inc.

      Ronald D. Sugar, Ph. D.
      Former Chairman and CEO
      Northrop Grumman

      • MaRico NoHands Spikes - 11 years ago

        For the recor I was stating it’s not only Tim Cooks decision for the acquisitions, I could careless who they buy & I know they aren’t stupid

    • joshalfie - 11 years ago

      Dramatic much?

    • rahhbriley - 11 years ago

      See, you’re still not gone. It doesn’t work.

    • rrobinson1216 - 11 years ago

      Just because you don’t understand the logic doesn’t mean the logic isn’t there. I can tell you why they would buy Beats. 1 Billion in revenue per year (which means that purchase amount will be back in their hands in less than that), and they bought it for image. I can bet you that Apple will use Dre and lovine’s knowledge of the music industry and record labels, sure, but they will also use them for marketing. Beats, whether you love them or hate them (I’m not a big fan myself), have done one thing well. They have made a seemingly innocuous item for the 13-25 crowd seem ‘cool’ again. Over-the-ear headphones before Beats were not seen much on the streets. Headphones were just things that came with phones and ipods, outside of the audiophile world. Beats broke that mold by building an image that teens and young adults liked, while making a ‘premium-looking’ product at a high price point with miminal costs and maximum profits (whether you believe that they are worth that price point or not). Apple did the same exact thing with portable media players, with the phone, with…need I go on? There are industries Apple is looking to ‘make hip'(watches, maybe other things like TV’s?) and these guys were probably purchased to help with that. If you think Tim was the only and deciding factor of this decision(if it goes through), then you are delusional about how companies work.

    • Robert Nixon - 11 years ago

      I love when stodgey old nerds on the internet through a temper tantrum over things they literally know nothing about, such as running a multibillion dollar corporation or acquisitions.

  4. Marco Brandão - 11 years ago

    It will be finalized and announced at WWDC.

    • rogifan - 11 years ago

      WWDC is a developer conference. What does buying Beats have to do with software developers?

    • Ryan Callahan - 11 years ago

      Apple isn’t going to buy a company, never mind the largest purchase in it’s history if this is true, and then announce the deal without any solid plans for the company just two weeks later. Not logical for a company like Apple to do something like that.

  5. Patrick G (@PatTheCarNut) - 11 years ago

    Should we care? Why is this news? Do you think we are all sitting on the edge of our chairs waiting for the day it ACTUALLY finalizes? We heard about the buy, why should we care WHEN?

    • TheMacAdvocate - 11 years ago

      You should care because there is no other Apple news, which is why analysts are able to take advantage of the vacuum to fluff this nonsense.

      This “deal” isn’t going to happen. This week we get to hear about the “delay” – and maybe we’ll hear about another “delay” in 2 weeks. Then we’ll get the usual hype right before WWDC and it won’t happen there either, because that would be the most retarded announcement in the history of WWDC. Then you might get a ping of it in another month, or news that the “deal” “fell through”, because that’s how crappy journalists extricate themselves from stuff they either sourced weekly or made up entirely.

      But seriously: you should still buy into all these rumors started by 2 dudes at a dead tree rag looking to drum up pageviews. It worked for Gene Munster and the Apple television – and he was able to pull 2 year from that milky udder.

    • Pete Mrsich (@petem222) - 11 years ago

      You clearly don’t get the internet or news, or internet news. Go lie down for a while. ;-)

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