HTC buys majority stake of Dr. Dre's company Beats
HTC is adding to its pool of corporate acquisitions with a company co-founded by music mogul Dr. Dre.
Beats Electronics makes high-end speakers and headphones, and uses its own proprietary audio technology.
Under the deal, HTC, which has rocketed to stardom ever since it launched the world's first Android phone in 2008, will acquire 51% of Beats for $309 million.
HTC will use the company's expertise in portable audio in future smartphone and tablet products.
"Beats has found a unique way to harness popular culture in a manner that is unlike any other brand today. It’s an exciting brand that has been built around providing something very special, and we believe our strategic partnership will provide customers with unbeatable sound on HTC phones. We obsess over every detail of a consumer’s mobile experience and audio is a critical part of that experience," said HTC president Peter Chou.
It's a way for HTC to keep on top of mobile innovation, in a market where new innovations seem to happen every day. The company has already proven its mettle by launching the first Android phone, the first 3D phone, and the first 4G phone in the US.
Prior to Android, it was a little-known company operating mostly out of Asia. Now, its phones like the 'Evo' brand and the Verizon Thunderbolt are practically household names.
Beats will continue to operate autonomously with no major staffing or relocation changes planned at this time.