For some months now, Apple has been stockpiling some of its income to what looks to be enough to buy a company. With rumors of different businesses Apple could purchase, a new report from the Financial Times states that Apple is now in talks with a view to acquiring Beats Electronics.
A few months ago, Beats Electronics bought its remaining 50% shares back from owners, HTC. Its plans were to create a global music streaming service similar to Pandora and Spotify.
As Beats Electronics has never been successful as a standalone company, Dr. Dre, the co-founder of Beats Electronics, is looking to setup a deal worth $3.2 billion to the company.
Already being a premium and expensive product, Apple is more focused on Beats Electronics music streaming-service, available only on the AT&T Network. Unlike iTunes Radio, Apple could now have a music streaming service that is available to mobile phones, thereby boosting iTunes sales.
Already being in the music business with iTunes, this provides Apple with a broader approach as well as the better recognized celebrities for their products.
As these reports are all rumors and the deal may never happen, it is interesting to hear how Apple is attempting to boost its sales. The entire deal would make Beats Electronics more popular and put major pressure on their competitor, Spotify.
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