Taiwanese smartphone maker HTC has decided to buy a majority stake in Beats Electronics, which makes high-end headphones and speakers.
The company has decided to shell out $300 million to acquire a 51 per cent stake in Beats, which was founded by rapper / producer Dr. Dre and Interscope’s Jimmy Iovine.
Beats Electronics makes high quality headphones and speakers which claim to deliver professional studio like sound quality. The company sells headphones under the ‘Beats by Dr. Dre’ brand.
HTC revealed that Android based smartphones integrated with Beats technology will be launched this fall. The investment will help HTC to differentiate its Android based smartphone devices from others.
"Beats has found a unique way to harness popular culture in a manner that is unlike any other brand today," Peter Chou, chief executive of HTC Corp, said in a statement.
"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," he continued.
Beats Electronics will continue to run as an autonomous company and maintain its partnerships with Hewlett-Packard, Chrysler Group and Monster Cable Products.