Dr. Dre and Jimmy Iovine

Apple Set To Purchase Beats Electronics for $3.2 Billion, Dr. Dre Could Earn Up To $1 Billion


(AllHipHop News) Dr. Dre has made more money making headphones than he has ever made making beats and ironically Beats is about to make him even richer. According to reports, tech goliath Apple is planning to purchase Dr. Dre and Jimmy Iovine’s Beats Electronics.

While reports are not solidified, Apple is set to purchase the leader in the U.S. headphone market for $3.2 billion, their biggest acquisitions since Steve Jobs died in 2011. The deal would include Apple claiming ownership of Beats Electronic music subscription service, Beats Music, a competitor for Apple’s iTunes Radio.

Last year, streaming music subscriptions increased as digital downloads experienced their first annual decrease since Apple’s iTunes arrived in 2003.

In August 2011, manufacturer HTC purchased 50.1% of Beats Electronics for $300 million. In less than three years later, Beats Electronics purchased the shares back for $415 million. Dr. Dre accumulated $100 million in pretax earnings from the 2011 sale and could make upwards of $1 billion from the sale with Apple.

Dr. Dre was second on Forbes’ Cash King List for highest net worth among Hip Hop celebrities this year.

  • Rico Allworld

    That’s great!! Will he actually do something for Compton besides yell it in a rap song.
    These old niggas used to be the ones calling other cats sell-outs. Now they are the biggest perpetrators of the name. God bless M.C. Hammer

    • Lord Saltsworth McGinty III

      With his broke a$$.

      • Hammer might be rich people broke.. But He’s FAR from broke, know that. Its funny how people are SO focused on a that mans pockets that they completely discredit the fact that he went all in trying to GIVE BACK to his community. So I’m with Rico on that. God Bless M.C. Hammer

  • tra mo

    Sshheessshhhh!! salute

  • You Got Me Hott Out Here!!

    News Flash: He’s married to a white woman. Woman outlast men. All the money will end up in her hands. You’re welcome.

    • TruthSerum

      Actually his wife is of a mixed racial background.

      • You Got Me Hott Out Here!!

        With what lol

      • TruthSerum

        half black, half white….. And with the amount of mixed couples I see on a daily basis, you oughta just get used to that lol

    • Executive

      Shut up.

    • bigg dogg

      i was waiting for a racist fag comment from a cornball

    • Thanx Nerve

      He has some (black) children and they will have more off it.

  • Immortal

    Not to sure if this is a power move for Apple, but if true, it’s most def a power move for Dre and his accountant.

    • Tx_Vandal187

      more for jimmy

    • Sean Power

      power move apple to they will kill the beats by dre laptop by hp and only put it in macbooks

    • Apple would have done their research, they surely know what they’re doing.

      It’s going to be a win win deal.

  • SmittyJ

    Welp! There goes the possiblity of Detox ever coming out.

    • TruthSerum

      Detox was never gonna come out either way man lol

      • Frankie Rich

        Detox is coming out best believe it, its gonna come out 2 weeks after my album is released, which is 3 weeks before never

  • TruthSerum

    And he’s the least flashy about any of it, which is why I respect him. Puffy, Birdman, Jay-Z, etc etc., anybody even close to that status can’t stop rubbing it in peoples faces, Dre just keeps his head low and is about to be the first one to actually hit a billion.

    • Executive

      Dre has some nice ass vehicles too, he’s a humble dude.

    • BIG MIKE SOMETHING SERIOUS

      So true Fam, Clear people don’t be doing all the flashing.

    • Weedras

      That’s his personality from day one kept a low profile only came up when he had to…

    • David Gonz

      AND OUT OF THE NAMES YOU MENTIONED., HE DESERVES IT THE MOST FOR HIS CONTRIBUTIONS TO HIPHOP.

  • NEWSKULL

    Take that Diddy… Talk about rabbit and turtle race… Dre didn’t have to sell alcohol, tour the world 500 times, sell Aftermath and what not… Just one deal… he went from 150 to 330, 330 to 580 and now 580 to 1 Billion…

  • Sean Power

    dre is about pass diddy and jay to become 1st hiphop billionaire

  • Executive

    Bumbaaaa!

  • Executive

    What about 50’s headphones? Lol!

    • soyhiphop

      50 has 1000 crates filled with them shits in his basement. .lol nobody buying

      • Executive

        Hahaha! Word!

  • Executive

    Hope Jimmie don’t snake him.

    • Tx_Vandal187

      oh he will

  • Inmadopicouroz✓QUEENSᵛᵉʳᶦᶠᶦᵉᵈ

    Suge about to have some hateful comments in 5,4,3,2,1…………..

  • Montezuma1

    All that ankle grabbing and knee scuffing finally paid off Dre. Congrats cocksucker.

  • bigdoe6

    Dextox never coming out now. Dre bout to move to another planet.

    • Lord Saltsworth McGinty III

      LMAO. True sh@t.

    • BIG MIKE SOMETHING SERIOUS

      Damn I was gonna say the same thing, but those headphones are no match to Bose headphones..

      • Weedras

        the only thing they have over Bose is the ability to replace the cord if it goes bad…

      • BIG MIKE SOMETHING SERIOUS

        Bose has life time warranty.

      • brotha_man

        i cosign bose are boss. but cant hate dre for the come up

      • BIG MIKE SOMETHING SERIOUS

        NO hate on Dre, Big fan, Just sad Detox won’t come out.

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  • Lord Saltsworth McGinty III

    Somebody had better put that n@gga Suge on a suicide watch.

    • Guest

      Can’t yall learn how to articulate without using the word “n!gga”?

  • ZUBU

    Dre will take the Hip Hop Cash Crown, on the low low Dre getting more paper than anybody.

  • bigg dogg

    flipped it tho…sold it ..then bought it back ..then sold it again hustler

  • TheAkademik

    You can only wish that someone who has profited off of the image of Compton would take their wealth and invest in the lives of those who weren’t lucky enough to make it out. Then again, why expect anything but the same shit from these rappers. Plus my Beats stopped working.

    • Ligit

      Real shit

    • Dope

      As Nas said:
      ”How you a man waitin’ for the next man to get rich, yo’ plan is to stich out yo’ hand real quick?”

      He worked so he can earn money for himself. If he does decide to help anyone with his money, that’s great and commendable. But he’s not obligated to do so just because he came from the hood.

    • Problem with society……..waiting for handouts.

      It’s easier going out there, legally grafting and
      making you’re own money.

      I’m sure that dude has some investments that benefits others.

      Waiting for handouts is out of fashion working smart and hard pays off.

      • TheAkademik

        Wrong. The problem with society is that returns of capital exceeds the rate of growth of output and income. Wealth Inequality and pervasive racism are to blame, not these imaginary individuals waiting for handouts. Read and think so that you aren’t simply repeating talking points about the culture of poverty. Oh yea, and Beats headphones are actually cheap.

      • Maybe you and I aren’t looking at society through the same lenses bro and that’s cool. I’m an avid reader too, but clearly not reading the same books as you since we surely have different views on this issue.

        We’re “never” going to get rid or racism or wealth inequality we’ve got to live and deal with them in our own ways.

        I personally don’t believe in the scarcity mentality there’s enough money to go round and I work smart and hard.

        The wealthy peeps that I know never got there by complaining, they got to where they are today by changing their mindset and taking matters into their own hands. I know changing the mindset might not be easy for some but it can be done.

        Take a look around and you’ll see that some people still think that society owes them 3 square meals. This is not to say that poverty doesn’t exist, it does and some peeps will genuinely need help whilst others don’t and still expect to be fed, bathed and clothed by others,

      • TheAkademik

        You do realize that the wealthy peeps you speak of probably aren’t wealthy at all. The wealthiest people do not make money because they work hard. Are you telling me Dr Dre works harder than someone who works two jobs at fast food restaurants and goes to school? People at the bottom are working the hardest but aren’t being compensated appropriately. Our society feeds prisoners 3 meals/day, so why shouldn’t that be good enough for everyone?

      • Hmmm interesting points bro. The 3 square meals got me thinking.

        On the other hand these peeps are wealthy some have been through the struggle a few have been homeless in the winter. Made money lost it all again and then got back on their feet after learning from their mistakes. These peeps still work hard but they are also smart with it too. Getting other talented people onboard.

        I did mention the words ” smart and hard” I earn money from what I do and I don’t own a pair of Jordans or a Beats headphone. If I wanted to buy those items I could but I just don’t see the value for myself. I’m not knocking anyone who owns them.

        What we’ve got to realise is that Dre was not an overnight success, I’m sure dude would tell of his struggles even though compared to others they were nothing.

        Working 2 jobs and going to school to me that is ambition and with determination and being smart, not many stay in that position forever.

  • JimJames29

    That first sentence… I can’t wrap my head around that… more money from one signature on a piece of paper than from ALL his music combined… of course I realize the success of beats is largely based on his reputation as a musician plus if he wasn’t one he wouldn’t have been able to invest. Still, though. All those albums all those hits the label eminem 50 snoop aftermath the tours the merchandise… and all of that is not even worth a third of apple basically saying ‘this is a pretty cool brand’… Like facebk bying whatssapp for 19 billion… when their own message app is just as good…our economic system is crazy man.

    • FB bought whatsapp because of the market reach. They had already tapped into a market that Facebook was struggling to tap into.

      whatsapp had a greater market share and knew how far ahead of Facebook they were that’s why FB had to pay silly dollars for the business. ( data also came along with the whatsapp deal I think it was phone numbers and names but I’ve forgotten the specifics)

      If you’ve got something that someone badly needs you’re in a better negotiating position and you can demand whatever you want for it. Sometimes you get it sometimes you wont.

      Well done to Dre though, seems like dude has a strong teams / very astute business manager.

      • Jovaughn

        Also and most importantly the data from conversations on whatsapp. Which is a trove for data analytics. .

      • Glad to have another intelligent peep chime in.

  • Weedras

    Ironically Apples earbuds are 10 times better than Beat’s…

  • WORLD DOMINATOR

    From years on the street as a DJ, with Yella & then meeting Eazy, Cube & Ren; DRE has never stopped creating & dreamer bigger & bigger! The fact that he & Jimmy became real BILLIONAIRES, not that ‘fake DUMB MONEY’ kind – is a testament to being a STUDENT OF THE GAME & MASTER OF YOUR CRAFT! Being really talented at what you do & being a good person, treating others well…. unlike his old ‘partner’ Suge Knight, who is BROKE, STUPID & master of the BIGGEST FAIL in Entertainment History! Dre left that fool in the DUST & just made more in an HOUR than Suge & all the knuckleheads collectively will make in a hundred lifetimes put together!

  • I wonder how this makes 50 cent feel.
    I hope dude is not weeping. LOL

    • bigdoe6

      Why would 50 feel bad? Think about it. 50 came nothing. Got with Dre and EM and made a million dollars. For someone to come from Southside Jamaica Queens and being in a position to build a classic music catalog why would he be mad? Dre had millions before he put 50 on anyway. Nothing to feel bad about.

      • Why would he feel bad? Good question. I’ll answer that later.

        Yeah, I agree he’s made millions, but that has never stopped him from constantly attacking other peeps who seem to be more successful than he is.

        As to why he should feel bad ( jealous ), I still wonder why he feels bad about others hitting the big time when he should be happy that he made it too. ( I’m still racking my brain bro) ha ha.

        It’s probably the jealous streak in him that he’s struggling with. Some have it under control, whilst others don’t.

  • jdubba

    “Dr. Dre has made more money making headphones than he
    has ever made making beats and” ironically Beats is about to make him
    even richer.”
    Its like a 5 year old wrote this sentence

  • The Legendary Troll

    first hip hop billionaire. But wtf would you even do with a billion dollars?

    • Dope

      Run for the second billion.. then the third.. and so on.. Though I think Dre is a bit smarter in that regard than average old businessman, I think he knows how to enjoy his money, not just chase it.

    • W.E.B. Du Bois

      a lot loser, your just so closed living your mind goes blank – its too far away from your reality

  • The Legendary Troll

    jay and 50 going back to the lab like “wtf can we invest in to stay in the game”

    • RapItUp

      Don’t lump Jay and 50 together in the same bracket.. 50’s head is barely above water in that race

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  • brotha_man

    pac will appear 7 days from now

  • Thanx Nerve

    Even if Apple or another company doesn’t buy it, Dr Dre will be a billionaire if Beats by Dre stays a hot brand. Kudos to the Doctor !!!

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  • Blaq_Boi

    This is gonna piss Diddy off.

    • Thanx Nerve

      The more pissed will be 50 Cent for real. Diddy and Jay are not haters like 50 is, and they are not really in the headphones business. And recently 50 dissed Beats by Dre.

      • Blaq_Boi

        Fiddy is and has been a non-factor for a minute now. Even if he makes a noise, only person who’ll care to listen is Kidd Kidd.

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  • ThatDude

    Dre will be like “what’s good Oprah.”
    What’s good my “Wigga” Gates.
    Diddy/Jay/ Birdman Who?

  • Qudus

    What is Apple’s angle here?

    They checkmate HP Laptops and Macs get Beats branded…Yes
    The acquire Beats steaming network and solidify iTunes Radio…Yes

    They use the Beats brand to get into new markets…?

    There has to be more to them paying 3.2 billi…is there any other angle I’m missing people?

    And congrats to Dre being Hip-Hop’s first billionaire…he never really chased it but got there ahead of peeps like Puff and Jay. Jay in particular wouldn’t stop telling you in every record how he’s got half billi…

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  • joseph

    apple glasses is clearly why they want beats headphones, got a feeling there about to enter the gaming market with there own virtual headset giving them a platform to sell music films and the rest without beats headphones they dont have the upper hand when it comes media streaming. just theory right….

  • IceBergSlim

    That’s wassup these cats are gettin it..P Diddy & Jay Z kept talking about it ..Dre has not said shit! and now he is at the finish line. Damn!!!!! Funky rich

  • Mahd Ting

    For real

  • I like how Dre stays in the cut. No high profile sh*t. Just getting paper behind the scenes. But on some real sh*t, Diddy and Jigga must be mad as hell. They’ll never cop a $1 Billion deal for nothing. I think they’ll definitely both make a billion before it’s over, but all of that bragging them 2 dudes do needs to cease. Dre took the cash crown with no words. And oh…. 50 Cent? You need to start sweating. Because if Jimmy Iovine takes an advisory role with Apple, your music just got a GIGANTIC ENEMY. You basically are f*cked! Whoa! This move is mega.

  • David Whiteknight

    People actually still buy beats?

    lolwtf

  • Hey 50, you should have worked together with Dre instead of stealing his idea. #justsaying

  • Jehiel

    “Sooooooo, Apple deal is cool and all… but what’s up with detox?” – Reporter at Wall Street Journal

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  • Will this up the value of my Dr. Dre – The Chronic vinyl?

    :/

  • Terrance Goodman

    Newts are trash but get money dre

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