The EU will make a decision regarding the Apple-Beats deal by July 30th

Total
0
Shares

Back in May, Apple officially announced that they would be acquiring Beats for a whopping $3 billion. The deal is probably one of Apple’s largest acquisitions to date and heralds a new direction in which Apple could be headed. While the deal has been officially announced, naturally it has to pass through the regulators before it is official. It is unclear how the US regulators are treating the deal, but over in Europe, the EU will be making their decision about the Apple-Beats deal by the 30th of July, and decide if they want to give the deal the green light to go ahead with it. According to Reuters,“The Commission can either clear the deal unconditionally or demand concessions if it sees competition issues. It can also open an extensive investigation if it has deeper concerns.”

The European Union’s competition watchdog, the European Commission, will make a decision on Apple’s $3 billion deal to buy Beats by the end of next month. The Commission announced the news Wednesday, saying that while it could clear the deal with no concessions, it reserves the right to launch an in-depth investigation into the agreement to deal with any competitive issues that might result from the acquisition. Late last month, Apple announced plans to acquire Beats for $3 billion. Apple has been cryptic about its plans, but seems to be most interested in the Beats Music streaming service. While Apple already has a music-streaming service in iTunes Radio, the pending acquisition suggests that Apple sees greater potential by folding Beats Music into its lineup. The European Commission is just one of several governmental bodies that need to approve the Apple deal, including US regulators, who will also examine whether it poses any anticompetitive concerns. That seems unlikely, given the sheer amount of competition in music streaming today and the small sliver occupied by Beats Music in the space owned by Pandora and Spotify. In addition to streaming music, Apple would get its hands on Beats’ popular headphones. Apple’s brand has arguably lost some of its “coolness” factor over the last few years, while Beats, riding the success of its headphones, has become a pop culture phenomenon.

Leave a Reply

Your email address will not be published.

Read the complete story.

You May Also Like