As had been previously rumored, Apple was expected to buy Beats to the tune of $3.2 billion, and after all of the due diligence had been completed the end result was that Apple would be buying Beats for $3.0 billion. The deal is being broken up into $2.6 billion in cash and $400 million in stock, which may end up valuing the deal even more if those who get stock decide to hold on to it and Apple’s [AAPL] shares continue to rise. According to Apple’s own CEO Tim Cook, “It’s all about the music.” Ultimately, Apple is buying a competing service to iTunes Radio
Apple to Buy Beats for $3.2 Billion?
As rumors usually go, this one is a pretty juicy one coming from the Financial Times, who is usually pretty spot on with their M&A news, especially in tech. According to the Financial Times, Beats Electronics founded by Jimmy Iovine and Dr. Dre is currently in talks to be bought by Apple to the tune of $3.2 billion. This is compared to the sum that HTC paid back in 2011, $300 million. At that time, HTC actually had a majority share of Beats Electronics and was unsuccessfully using their branding on their phones like the HTC One to push their devices. HTC’s strategy with Beats