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Apple Confirms Its $3 Billion Deal for Beats Electronics

nytimes.com

91–100 of 351 posts

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#91

Earlier quoted context omitted.

> reinvented the higher-end headphone marke There's zero high-endness about Beats headphones. They're all right (at least if they were priced around 30% of their current price), but really, they don't sound particularly good.

It doesn't matter if you're paying for sound quality, fashion, or the brand name. They cost $150-$300. That's higher-end.

it's not worth that price

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#92
post #32

An important quote from the article: >> “Could Eddy’s team have built a subscription service? Of course,” he said. “We could’ve built those 27 other things ourselves, too. You don’t build everything yourself. It’s not one thing that excites us here. It’s the people. It’s the service.” From my usage of the Beats streaming service it stands head and shoulders above everyone else because of the people it has creating pl…

Is it just the ability to discover new music that has people in love with BS? I find that Google Play does a fantastic job on my phone, and for any sort of real use I fall back to my Sansa MP3 player. I personally dislike others making my playlists, so perhaps I'm far outside the demographic. Is there something I'm missing here, some sort of killer feature perhaps, that validates the huge valuation of this acquisitio…

For me it's the curated playlists that make it great. IMO opinion they do a fantastic job. I've been getting more and more into Neil Young recently. I just opened Beats and they are showing me a Neil Young album I might like on the main page. I've also started listening to Albert King and they have an 'Intro to Albert King' playlist there too. It's a bit hit and miss but about 75% accurate. When I use Spotify I typically have to think of something I'd like to hear. I find their discovery page awful. When I open Beats I have an album or playlist that I like selected in a few seconds. It seems to be pretty good at learning my tastes and I'm also pretty happy that it's not just recommending similar stuff but a broad enough range of music that I'm expanding my horizons a bit.

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#93
post #70

The most interesting reveal from Tim Cook's quote is that he only mentions the music service and the talent, not the headphones. That's super interesting. It basically means Apple looked at this like a typical Apple aquihire / component technology purchase (of the service), that just happened to have a multi-billion dollar profitable accessories business attached to it. That makes it a very unique kind of deal.

"Unique" is one way of putting it. Another is "messy."

If they wanted the headphones or the talent or the streaming service, they could have bought any one individually, or purchased a number of competing services that are better in each of those spaces.

The fact that everyone is so confounded by this acquisition makes me think that Apple purchased something non-public.

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#94
Why didn't Apple just buy MOG when it was a separate thing? Or, why not just buy rdio now?

This is more than an acquihire or however you want to spin it. I'm sure right now Beats headphones are printing money and the people at beats are good at marketing youth culture.

Apple needs the ability to sell expensive tech to teens to be cool. Beats manages to sell overpriced headphones to teenagers all the time in huge numbers, even if it doesn't make financial sense. It's like designer jeans or Oakley sunglasses or... the iPod.

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#95
post #70

The most interesting reveal from Tim Cook's quote is that he only mentions the music service and the talent, not the headphones. That's super interesting. It basically means Apple looked at this like a typical Apple aquihire / component technology purchase (of the service), that just happened to have a multi-billion dollar profitable accessories business attached to it. That makes it a very unique kind of deal.

For those of us not familiar with Beats, what is so special about the music service compared to (for argument sake) Spotify?

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#96
post #25

Apple redefined the mp3 player market, the ultraportable laptop market, the smartphone market, the tablet market, and now they're buying a company that reinvented the higher-end headphone market. Is it smart of a brand that has traditionally created their own iconic images to buy another cultural icon for $3 billion? I don't think so. Maybe this gets used a lot, but would Steve Jobs have done this? Or would he have c…

You really, truly think Jobs didn't know where his company was going to go in the next 5 or 10 years? Seriously?

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#97
post #25

Apple redefined the mp3 player market, the ultraportable laptop market, the smartphone market, the tablet market, and now they're buying a company that reinvented the higher-end headphone market. Is it smart of a brand that has traditionally created their own iconic images to buy another cultural icon for $3 billion? I don't think so. Maybe this gets used a lot, but would Steve Jobs have done this? Or would he have c…

>I'm willing to bet anything this is going to be seen as where Apple's golden age began to wane.

I would argue that they've already been left behind on the music front. iPods are dead, no one wants to buy tracks on iTunes for $1.29, iTunes Radio was too little, too late. A lot of Apple fans are proudly using Spotify or other services on their iPhones. Heck, even the musicians associated with Apple are getting uncool.

So, at least a Beats acquisition is something.

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#98

Is music even still important to Apple? The iPod is in a longterm decline. Low margin music streaming has replaced purchased mp3s. I think music has changed from the main event in the Apple ecosystem to a minor attraction. It seems like Apple is looking backwards and defensively, not forward and offensively on this one.

Music is probably one of the top 3 things people do on their Apple devices so it's important for Apple to control that experience in some way. If people are leaving behind purchasing in favour of streaming they have to download an app on their new iOS device before they can listen to music. Apple would rather the music experience be built-in.

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#99
post #26

Earlier quoted context omitted.

What's uncontroversial about that? The iTunes Store did make (legal) digital music mainstream. That's not to say it was the first store of its kind, but it was certainly the first to have widespread success.

CDs are digital music, everyone was listening to digital music before apple did anything. People were using walkmans long before the iPod. The point is trying to credit apple for "digital" music as opposed to "analog" music. That is just absurd. Credit them from making a business out of selling digital music, but not for making digital music popular.

How's the autism spectrum treating you?

"CDS ARE DIGITAL MUSIC!!!"

Re: Apple Confirms Its $3 Billion Deal for Beats Electronics

#100
post #25

Apple redefined the mp3 player market, the ultraportable laptop market, the smartphone market, the tablet market, and now they're buying a company that reinvented the higher-end headphone market. Is it smart of a brand that has traditionally created their own iconic images to buy another cultural icon for $3 billion? I don't think so. Maybe this gets used a lot, but would Steve Jobs have done this? Or would he have c…

> reinvented the higher-end headphone marke There's zero high-endness about Beats headphones. They're all right (at least if they were priced around 30% of their current price), but really, they don't sound particularly good.

Surely this could be said about many other high-end fashion type brands. Expensive Nike trainers aren't worth what they sell for, most designer handbags are worth a fraction of what they sell for. These items also don't have any real technical merit to justify the price.
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