You’ve probably heard Apple owns a lot of products and services. That being said, you may wonder: does Apple own Beats headphones?
Well, if you’ve been wondering if Apple owns Beats, then keep reading because I’ve been researching this topic and have all you need to know listed below!
Does Apple Own Beats in 2024?
On August 1, 2014, Apple acquired Beats in what was the largest acquisition in the history of Apple. Furthermore, Apple acquired Beats by paying more than $3 billion in both cash and stock. Since Apple has owned Beats, the company has released more products under the Beats name, such as PowerBeats3 as of 2024.
Do you want to know specific details about Apple owning Beats, like why Beats was sold to Apple? If so, don’t stop reading!
Is Beats Still Owned by Apple?
Apple does still own Beats and has no plans to phase out the company, even though Apple has come out with AirPods and its own line of headphones for consumers.
Furthermore, some consumers are purchasing Beats because they don’t want to be associated with Apple or AirPods, so Beats is still a profitable brand for Apple.
Does Apple Own 100% of Beats?
Apple does own 100% of the Beats company, since both Dr. Dre and Jimmy Lovine, the co-founders of Beats, have joined Apple as part of the acquisition.
Is Apple Killing Beats?
Apple isn’t killing Beats and has no plans to discontinue it. Currently, Beats is still profitable and a highly-successful brand for Apple.
Also, Apple has plans to continue investing money and resources into Beats and putting out new products under the Beats name to satisfy consumers who’d rather buy Beats than AirPods.
That being said, we can’t say that Apple won’t be killing off Beats in the future, because once Beats becomes less profitable, it’ll be something Apple will have to consider.
How Much Did Dr. Dre Make Off the Beats Deal?
The Beats deal made Dr. Dre the wealthiest of all Hip-Hop artists in the world, since Apple paid $400 million in stock and $2.6 million in cash to acquire Beats.
How Much Does It Cost Apple to Make Beats Headphones?
It’s estimated that to manufacture a pair of Beats headphones is around $14, but when they are disassembled, the price of the materials is about $18.
Therefore, there is a huge markup between the cost to make Beats and the retail price of Beats, which could be one reason why Apple likely won’t kill off the Beats brand.
Are Beats Headphones Outdated?
Beats aren’t outdated, since Apple has continued to release new products under the Beats name.
However, there are a few Beats products that have been discontinued through the years.
For example, Apple has discontinued Beats EP, Beats Solo Pro, and the Powerbeats, and you can no longer find these products in the Apple Store.
Are Beats and Apple the Same Company?
While Beats is now a wholly-owned subsidiary of Apple, Beats is still its own brand.
As well, the products are still being made and marketed how they were while Beats was owned by Dr. Dre.
Why Beats Are Better Than AirPods?
Beats are better than AirPods for several reasons, including that you can use Beats with both Apple devices and Android devices, so there is a lot more versatility with Beats.
Additionally, Beats are a lot more comfortable to wear than AirPods, especially for long periods, and they have a more secure fit than AirPods.
As well, the noise cancellation is significant and much better, so you’ll notice a huge improvement in sound compared to the AirPods.
Is Apple Making New Beats?
Apple is continuing to develop and release new products for Beats, even though the company hasn’t been releasing products on a regular schedule.
For example, Beats Studio4 headphones are the newest Beats product that Apple has developed and launched, and there will be many more Beats products in the future.
To know more, you can also read our posts on whether is Apple Music free, what Apple Keychain is, and do Apple watches have cameras.
Conclusion
Apple does own Beats and acquired the company back in 2014 for more than $2.6 million in cash and $400 million in stocks. Both Dr. Dre and Jimmy Lovine, the founders of Beats, joined Apple after the acquisition.
Furthermore, Apple has been releasing new products under Beats, even though it’s intermittent, and has no plans to discontinue Beats because of the popularity of the brand.
