HTC to buy 51% stake in Beats Electronics

Announced today is an interesting partnership between two of the most well-known electronics makers of the moment, Beats and HTC. According to Bloomberg, the two companies are in the process of finalizing a $300 million deal that will give HTC a 51% stake in Beats, the company best known for its successful Beats by Dr. Dre headphones line that was created by Interscope/Geffen/A&M Records Chairman Jimmy Iovine and Dr. Dre himself. The main reason behind the acquisition is to begin manufacturing HTC cell phones that include Beats by Dr. Dre sound systems in them, a move that progresses pretty naturally from putting them in cars and computers. Read Iovine’s statement on the deal below.

The marriage of these two companies is very, very good. We are very good for each other. With HTC’s innovation, technology and leadership, we feel we can really compete with anybody in this area.” – Jimmy Iovine, Chairman of Interscope/Geffen/A&M Records and co-founder of Beats By Dr. Dre.