Hear from Fortune 500 brands that have been forced to pivot as consumer preferences evolve, as well as entrepreneurs building brands from scratch to meet new consumer needs. This event peels apart the layers of brand building with a carefully crafted roster of top marketing, technology, and creative leaders.Learn more
Apple is close to acquiring headphone maker and music-streaming service Beats Electronics for $3.2 billion, in what would be the largest-ever purchase by the iPhone maker, according to a person with knowledge of the matter.
A deal would give the world's most valuable company a stronger foothold in the music-accessories business and would bolster Apple's online music capabilities. Apple has made a string of smaller acquisitions over the past 18 months under Chief Executive Officer Tim Cook.
Beats, based in Santa Monica, California, was founded by music-industry insiders Jimmy Iovine and Dr. Dre. After gaining popularity for its high-end headphones, the company is expanding and is challenging industry-leader Spotify with a music- subscription service called Beats Music.
HTC used to own a 51% stake in Beats, a controlling stake that it purchased for about $300 million. The company sold back 25% of Beats in 2012. In September, Carlyle Group bought a minority stake in the company, valuing it at over $1 billion.
Sarah Joyce, a spokeswoman for Beats, didn't immediately respond to phone and e-mail requests for comment. Christine Monaghan, a spokeswoman for Cupertino, California-based Apple, didn't immediately return a call seeking comment.
-- Bloomberg News --