All of us were waiting for Apple to confirm the Beats Acquisition, and today Apple have officially announced that it will acquire Beats Music and Beats Electronics. The news report earlier broke out around 2 weeks back claiming that Apple was very close to acquire Beats. It is now said that Apple will acquire beats for $2.6 billion in cash and $400 million in stock but, not the initially circulated $3.2 billion.
Under the new terms of the deal, the co-founders of Beats Audio Jimmy Iovine and Dr. Dre will join Apple’s executive ranks. The acquisition is subject to regulatory approvals and is expected to close in Q4 this year. Apple’s CEO Tim Cook tweeted a photo sharing a laugh with the new members of the company’s executive team.
Both Beats Audio and Beats Music will keep operating on their after the acquisition. However, Apple’s top executives Eddy Cue and Phil Schiller will run the duo of businesses. Furthermore, Tim Cook confirmed that the recently launched Beats Music streaming service will remain available for Android and Windows Phone devices after the acquisition. Beats Music is widely regarded as one of the main reasons for Apple’s interest in the transaction.