For the time being yes... long term who knows... this is an interesting position for Apple. Will they just oversee the brand and allow it to create it's own profits etc to help pay back the 3 billion it spent and milk it for whatever assets it felt where worth the price tag, likely meaning whatever those assets where won't actually cost it that much at all, if indeed anything.
I'm just guessing, but I assume Apple will treat Beats the same way Disney treats Pixar, in other words, hands off with certain growth expectations.
However, now we'll see cross-promotion of Apple products in Beats commercials. This will resonate within the youth market. This is an extremely smart marketing play.
How much did Samsung spend on marketing last year?
As I suspected. Apple spending $3B to try and buy cool. I would expect a slimy company like Samsung to do that, not Apple.
I'm curious the work-relationship between Dre & Tim Cook. They're obviously both businessmen, but I would not want to p!ss off Dre. That guy just intimidates me.
Man, they could've bought a company that makes real quality sound equipment like Bowers & Wilkins.
Don't worry... Apple has plenty of money leftover to get into serious sound quality... if they wanted to.
They could keep "Beats by Dre" for the kiddies... and create a "Beats Pro" brand for all sorts of new products like pro headphones, studio monitors, DACs, etc.
I'm just guessing, but I assume Apple will treat Beats the same way Disney treats Pixar, in other words, hands off with certain growth expectations.
Interesting.....but with lovine and Dre joining apple maybe similar in how Catmul and Lasseter were used to revolutionize Disney animation, Lovine and Dre to support Apple's itunes business and revamp it while Beats continues to make money on it's own to fund the acquisition.
Right the crowd that waits 2 hours to buy $250 sneakers. Classical music I suppose is not music Tim?
Desperation.
I would be surprised if any two classical music audiophiles would agree on the wisdom of buying any single audio equipment company.
Not that there is anything wrong with that, but Apple is mass market, not niche market. Funny, 15 years ago it would be silly to suggest Apple was anything other than niche, but things change.
In all seriousness, I'm looking forward to seeing where this goes. Sometimes the best plays are the least expected.
I remember when Apple was doomed when Steve Jobs announced a portable music player as the next big thing from Apple. Why would we want that? We prefer CDs! MP3 players are a niche market. MP3 players are for people with too much money and not enough brains. Apple is doomed. Apple has lost their way. Apple is giving up on the Mac.
Interesting.....but with lovine and Dre joining apple maybe similar in how Catmul and Lasseter were used to revolutionize Disney animation, Lovine and Dre to support Apple's itunes business and revamp it while Beats continues to make money on it's own to fund the acquisition.
Sorry I don't need a hip hop flava'd laptop loaded with a rap processor App named Bullets.
OK this gets even weirder....according to an internal employee memo Cook says Phil Schiller is going to oversee the design and and engineering of Beats Electronics. I hope that's because Dan Riccio and Jony Ive have more important things to do. Still seems odd to give that roll to the head of Marketing.
[QUOTE]Beats Electronics has become the brand of choice for headphones and speakers in both the music and sports world, just five years after its launch. They are among the most popular and highest-rated third-party products sold today in Apple’s retail and online stores. We see an incredible opportunity to bring Apple’s legendary design and engineering capabilities to these popular products under Phil’s leadership.[/QUOTE]
If remotely about the speakers, this is a rebuke of Jony Ive and his direct control over Apple's industrial design. Beats are the equivalent of extra chrome and neon lights on a Ford Taurus.
Everybody has their preferred brand and trashes other’s. Beats, Bose, Sennheiser, Audio Technica, Klipsch, whatever. None of them are any better than the other, especially in the mass market universe. The big names all compromise to get something in the price range. So your denigrating comment about Beats is uncalled for.
Tim Cook confirmed for one of the worst CEOs in Apple's history. He will go down like Ballmer. It won't be long before he starts throwing chairs around as their competitors start eating into their revenue more and more.
He bought two people for $3 billion dollars? What a complete tool!
Terrible news, to say the least - yet another bad move by Cook, the world's best COO and nothing else. Now what is "Dr. Dre" doing? Taking over Eddy Cue's job? Ridiculous.
I'm just guessing, but I assume Apple will treat Beats the same way Disney treats Pixar, in other words, hands off with certain growth expectations.
Which is quite different from the standard of expectation that Google fans have when it comes to, say, spending 4x as much on Motorola. In the end, they praised Google for selling Moto for a fraction of what they paid for it, as if that made it all better.
Comments
For the time being yes... long term who knows... this is an interesting position for Apple. Will they just oversee the brand and allow it to create it's own profits etc to help pay back the 3 billion it spent and milk it for whatever assets it felt where worth the price tag, likely meaning whatever those assets where won't actually cost it that much at all, if indeed anything.
I'm just guessing, but I assume Apple will treat Beats the same way Disney treats Pixar, in other words, hands off with certain growth expectations.
Like Amazon with eBooks? God forbid!
I'm curious the work-relationship between Dre & Tim Cook. They're obviously both businessmen, but I would not want to p!ss off Dre. That guy just intimidates me.
For some reason an image popped into my head of the NWA-version of Dr Dre standing next to Cook.
Don't worry... Apple has plenty of money leftover to get into serious sound quality... if they wanted to.
They could keep "Beats by Dre" for the kiddies... and create a "Beats Pro" brand for all sorts of new products like pro headphones, studio monitors, DACs, etc.
But I don't think that's what this deal is about.
To compare Pixar to Beats is like comparing Apple to Acer.
This is not your mother’s Apple anymore. I truly don’t know what to think about this. Yikes.
I'm just guessing, but I assume Apple will treat Beats the same way Disney treats Pixar, in other words, hands off with certain growth expectations.
Interesting.....but with lovine and Dre joining apple maybe similar in how Catmul and Lasseter were used to revolutionize Disney animation, Lovine and Dre to support Apple's itunes business and revamp it while Beats continues to make money on it's own to fund the acquisition.
Right the crowd that waits 2 hours to buy $250 sneakers. Classical music I suppose is not music Tim?
Desperation.
I would be surprised if any two classical music audiophiles would agree on the wisdom of buying any single audio equipment company.
Not that there is anything wrong with that, but Apple is mass market, not niche market. Funny, 15 years ago it would be silly to suggest Apple was anything other than niche, but things change.
I remember when Apple was doomed when Steve Jobs announced a portable music player as the next big thing from Apple. Why would we want that? We prefer CDs! MP3 players are a niche market. MP3 players are for people with too much money and not enough brains. Apple is doomed. Apple has lost their way. Apple is giving up on the Mac.
(refresh previous comments for the iPad).
Like Amazon with eBooks? God forbid!
Apple was wrong for that and should be punished.
Sorry I don't need a hip hop flava'd laptop loaded with a rap processor App named Bullets.
Right the crowd that waits 2 hours to buy $250 sneakers. Classical music I suppose is not music Tim?
Desperation.
Sir I'm gonna have to ask you not to offend my Yeezy and LeBrons. They are still recovering from minor scuffs. They're sensitive.
[QUOTE]Beats Electronics has become the brand of choice for headphones and speakers in both the music and sports world, just five years after its launch. They are among the most popular and highest-rated third-party products sold today in Apple’s retail and online stores. We see an incredible opportunity to bring Apple’s legendary design and engineering capabilities to these popular products under Phil’s leadership.[/QUOTE]
Yep
If remotely about the speakers, this is a rebuke of Jony Ive and his direct control over Apple's industrial design. Beats are the equivalent of extra chrome and neon lights on a Ford Taurus.
Everybody has their preferred brand and trashes other’s. Beats, Bose, Sennheiser, Audio Technica, Klipsch, whatever. None of them are any better than the other, especially in the mass market universe. The big names all compromise to get something in the price range. So your denigrating comment about Beats is uncalled for.
Gloat when that happens in reality, not before.
Shut up already!
Apple ][ ? Your thoughts?
Terrible news, to say the least - yet another bad move by Cook, the world's best COO and nothing else. Now what is "Dr. Dre" doing? Taking over Eddy Cue's job? Ridiculous.
Which is quite different from the standard of expectation that Google fans have when it comes to, say, spending 4x as much on Motorola. In the end, they praised Google for selling Moto for a fraction of what they paid for it, as if that made it all better.