Beats Audio and HTC is finally calling it quits as the former has brought back HTC’s remaining shares in the company for $265 million. HTC initially acquired 50% of the personal audio company two years ago, which was announced in a highly-publicised event that featured stars like Lady-Gaga and Will.i.am. A year later, HTC sold back 25% of its shares to Beats Audio.
Beats Audio and HTC is finally calling it quits as the former has brought back HTC’s remaining shares in the company for $265 million.
HTC initially acquired 50% of the personal audio company two years ago, which was announced in a highly-publicised event that featured stars like Lady-Gaga and Will.i.am. A year later, HTC sold back 25% of its shares to Beats Audio.
Neither company is talking about the buyout, but HTC said that it would still continue to partner with Beats Audio as future opportunities arise. In terms of the implications of the buyout, getting HTC out of the equation will allow Beats to venture into other business, which is exactly what the American company is reportedly planning to do.
Based from previous reports, it appears that Beats Audio has found a new investor that will help it expand its business to more than just personal audio. Rumours suggest that the company will soon expand into the production of speakers, in-car audio and even an online music streaming service.
HTC on the other hand maybe affected differently. One of the selling points of its devices is its integration with Beats Audio, so the absence of the “b” badge on its smartphone certainly has some impact on its ability to sell. On the plus side, the money from the buyout will really help lessen the company’s financial troubles.
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