If you have a dream about creating a startup and having it bought out by Apple for a huge profit, you’re not alone in counting the potential coins.
According to Fortune magazine, Apple has taken over nearly three dozen small companies in the last two years alone. When Apple buys out companies, it takes their information, scavenges the technology and the company most likely disappears. The latest Apple acquisition to face an Apple takeover and disassembling is quite surprising, not so much because it’s being stripped down, but because it took so long. Hence the end of Beats Music.
The highly(over) hyped Beats Music, which started out as Beats By Dre, was bought out by last year by Apple for approximately $3 billion dollars. Instead of shutting down quickly and quietly, Apple let the music service continue on, learning what it could, learning from the technology and experience, and launching Apple Music earlier this year with many of the same services and offerings. Beats music subscriptions will all officially end on November 30th although the physical electronics portion of the Beats brand is going to remain for the time being. (Translation, probably not for long in the current form.)
Some of the other companies Apple has taken over include the camera company, Linx, an audio streaming company along with Swell, a book recommendation service. Soon after the takeovers, the companies were dismantled and their profiles erased from the Internet. Post takeover, many employees end up job hunting or filing for unemployment compensation while higher ranking executives end up working at Apple with huge paychecks followed by huge buyouts.
With that said, Apple’s goals become quite apparent. When AuthenTec became a clear leader in biometric technology, Apple quickly bought them out, shut down the company, and used their research and development to create its Touch ID sensors. Not only did this save Apple a lot of time and money in research and development, but it put the competition, like Android, in the lurch leaving them without a biometric tech supplier.
Granted, Apple is not the only one to do this, Google, Facebook, Microsoft, and other big players are famous for buying and hiding tech in order to save the coins and stay at the top of the game. However, Facebook took over Instagram and WhatsApp, both still maintain their identity.
Apple simply buys the competition to handicap it or use their information and operations to their benefit. If you sell your company to Apple or work for a company Apple acquires, live beneath your means ASAP and you better be ready to find a new job unless you are Dr. Dre and his executive friends.
This all means that the hype was all planned and Apple knew what they were going to do before think was dry. RIP Beats Music until your divine resurrection gives way to another name and monthly subscriber fee.