Apple has confirmed it’s acquisition of Beats from co-founders Dr. Dre and Jimmy Iovine for $3 billion.
That deal is $200 million less than the initially reported $3.2 billion mostly due to low subscription on Beats Music channel.
SEE ALSO: Dr. Dre Premature Celebration Almost Cost Him Apple Beats Deal
“Music is such an important part of all of our lives and holds a special place within our hearts at Apple,” said Tim Cook, Apple’s CEO, in a statement posted on Beats Music Blog. “That’s why we have kept investing in music and are bringing together these extraordinary teams so we can continue to create the most innovative music products and services in the world.”
Dr. Dre business partner and head of Interscope Records Jimmy Iovine said Beats belong to Apple from the start.
“I’ve always known in my heart that Beats belonged with Apple,” Jimmy Iovine said in a statement. “The idea when we started the company was inspired by Apple’s unmatched ability to marry culture and technology. Apple’s deep commitment to music fans, artists, songwriters and the music industry is something special.”
Although the deal may not make him an instant billion, Dr. Dre stands to make hundreds of millions through his 25% stake in the company and much more to come being a part of Apple team.
Sharing a laugh with Jimmy, Dre, and @cue. Excited to welcome the #Beats team to #Apple. It's all about the music. pic.twitter.com/ZwyWgHFwhO
— Tim Cook (@tim_cook) May 28, 2014
Scripted photo opp, everyone is laughing all the way to the bank.