Apple acquires Beats Music, LLC & Beats Electronics, LLC

Apple acquired Beats Music, LLC & Beats Electronics, LLC for $3.0 billion, a transaction completed in July 2014, structured as combination (cash and stock).

Beats Music, LLC & Beats Electronics, LLC operates in Music streaming and audio hardware, is based in Culver City / Santa Monica, California, USA. Apple acquired the Beats Music subscription streaming service and Beats Electronics, maker of the Beats line of headphones, speakers and audio software. Beats co-founders Jimmy Iovine and Dr. Dre joined Apple as part of the transaction. Apple stated a total deal value of $3 billion; its FY2014 10-K later recorded purchase-price consideration of $2.6 billion. The Beats streaming assets and team became the basis for what Apple developed into Apple Music.

Apple framed the deal as deepening its long-standing commitment to music, pairing a leading premium audio-hardware brand with a curated subscription streaming service to round out a music lineup that spanned iTunes Radio, the iTunes Store and a world-class subscription offering.

Music is such an important part of all of our lives and holds a special place within our hearts at Apple. That's why we have kept investing in music and are bringing together these extraordinary teams so we can continue to create the most innovative music products and services in the world.Tim Cook, CEO, Apple

I've always known in my heart that Beats belonged with Apple. The idea when we started the company was inspired by Apple's unmatched ability to marry culture and technology.Jimmy Iovine, Co-founder, Beats

Advisory firms were not disclosed for this transaction.

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