Beats by Dre: Dre Beats reveals the real costs of making its headphones

TomoNews US 2015-04-14

Views 2

Dre Beats was sold to Apple in 2014 in a record-setting deal that included at least $2.6 billion in cash and millions more in stocks. It's been the biggest acquisition in Apple's history.

What if we told you that creating what a consumer's putting on his or her head probably cost as low as 14 bucks?

The New York Times reports that the headphones are inexpensive to make, and instead most of the costs are associated with marketing the brand. In fact, the company's founders, Jimmy Iovine and Dr. Dre, are marketing extraordinaires. They've somehow managed to fool everyone and make $14 look like a million bucks.

The least expensive headphones sell for $200. And the ears of Hollywood's hottest serve as mini-billboards for Beats by Dre.

Whatever price you decide to pay, which will range between $200 and $700 per headphone, you're not paying for quality that's for sure. Time Magazine's ranked Beats by Dre as the second to worst headphone out of 18 in terms of sound quality.

Despite its failings, the company controlled 27 percent of the headphone market in 2014.

----------------------------------------­---------------------

Welcome to TomoNews, where we animate the most entertaining news on the internets. Come here for an animated look at viral headlines, US news, celebrity gossip, salacious scandals, dumb criminals and much more! Subscribe now for daily news animations that will knock your socks off.

Visit our official website for all the latest, uncensored videos: http://us.tomonews.net
Check out our Android app: http://bit.ly/1rddhCj
Check out our iOS app: http://bit.ly/1gO3z1f

Stay connected with us here:
Facebook http://www.facebook.com/TomoNewsUS
Twitter @tomonewsus http://www.twitter.com/TomoNewsUS
Google+ http://plus.google.com/+TomoNewsUS/
Instagram @tomonewsus http://instagram.com/tomonewsus

Share This Video


Download

  
Report form
RELATED VIDEOS