Pricey headphones: Apple reportedly looking to buy Dr Dre's Beats Electronics for $3.2bn
Apple is said to be in talks to buy Beats Electronics, the headphone maker and music streaming service founded by hip-hop star Dr Dre and music producer Jimmy Iovine, for more than $3 billion.
If a deal to buy the company went through it would be Apple’s biggest ever acquisition, dwarfing the $404 million (roughly $600 million today) that the company paid for NeXT in 1996.
Since the death of co-founder Steve Jobs, Apple has been under pressure to come up with its next big idea, though some analysts have been confused by reports of the potential acquisition.
“This is really puzzling,” Forrester Research analyst James McQuivey told Reuters. “You buy companies today to get technologies that no one else has… or customers that no one has.”
“They must have something hidden… under the hood.”
Other analysts have speculated that Apple might be contemplating merging Beats Electronics' music streaming service with it's own, iRadio.
Beats Music currently has a few hundred thousand subscribers - less than rivals including Spotify and Pandora - but has championed the concept of the 'curated playlist' with celebrities and DJs offering users their 'personal selection' of tunes.
The strategy might not sound like much but it could help the streaming service stand out in an already crowded market, as well as enhancing the 'premium' feel of both brands.
Apple chief executive Tim Cook met Beats chief executive Iovine last year to discuss a potential partnership, Reuters reported in March, with Cook telling journalists at a previous quarterly earnings that the company was "on the prowl".
"We are not in a race to spend the most or acquire the most. We're in a race to make the best products that enrich people's lives," said Cook.
Life & Style blogs
The mother who never gave up on her child abused by the Oxford child sex ring
Britain scrapes into top 25 countries in the world to be a mother in Save the Children report
How to gain confidence and maximise your sexual potential
What do the emoji on Snapchat mean?
The 12 most sexually satisfied countries in the world revealed
In defence of liberal democracy
The Rothschild Libel: Why has it taken 200 years for an anti-Semitic slur that emerged from the Battle of Waterloo to be dismissed?
General Election 2015: UK will be 'run for the wealthy and powerful' if Tories retain power, Labour warns
General election live: SNP suspends two members for disrupting Labour rally
Schools forced to act as 'miniature welfare states' with teachers buying underwear and even haircuts for poor pupils
Andy McSmith's Sketch: Feisty audience is the real star of an enlightening show
- 2 Top Gear: Jodie Kidd, Philip Glenister and Guy Martin 'in advanced talks' to join show
- 3 General Election 2015: 14-year-old boy asks Nick Clegg – 'can you kill Katie Hopkins?'
- 4 University student in court for allegedly covering housemates' food in window cleaner and spit
iJobs Gadgets & Tech
£13676.46 - £16411.61 per annum + OTE: SThree: SThree Trainee Recruitment Cons...
£20000 - £22000 per annum + excellent benefits: Ashdown Group: Application Sup...
£20000 - £25000 per annum + Uncapped Commission: SThree: Do you want to get in...
£25000 - £30000 per annum + Uncapped Commission: SThree: Sthree are looking fo...