Question

The ChapterCase provides at least three theories why Apple purchased Beats Electronics. Which of those do you believe are most accurate, and why?

Answer 1

The ChapterCase provides at least three theories why Apple purchased Beats Electronics. Which of those do you believe are most accurate, and why?

First of all, Apple is of opinion that the coolness of the product of Beats will spill over its own brand as the products of Apple are not becoming more and more predictable and stale. If we look at the successful imitation by Samsung of Apple’s iPhone, It has become more of a standardized product.

Secondly, despite being the world’s largest vendor of music having more than 8000 accounts registered on iTunes store, Apple’s market has been disrupted. Content delivery, particularly in case of music industry along with video, is changing very fast from ownership through downloads to streaming on demand. Thus company requires a stronger position in the industry.

The real thing which Apple is focusing to buy is the talent that Beats co-founder Jimmy Iovine and Dr. Dre bring to the table.