Apple planning to scrap the Beats headphone lineup due to AirPods’ success

Apple acquired Beats Electronics on August 1, 2014, for $3 billion in a cash and stock deal. The deal was the largest acquisition in Apple’s history and since then, the brand has continued to soar higher and higher. However, there are reports that the US tech giant is planning to retire the Beats brand.

You ready for this? 👀

Apple Over-Ear Headphones
Codename: B515
(Think Beats 700)
$350
Aimed for WWDC

AirPods X
Codename: B517
For sports/running
(think Beats X)
~$200
Aimed for Sept/Oct

☝️ Probably what DigiTimes thought was “AirsPods Pro Lite”

End goal: phase out Beats 🤫

— Jon Prosser (@jon_prosser) April 7, 2020

A tweet by Jon Prosser hints that Apple is working on several Beats-centric products for the AirPod line. The end goal is to see that the inventory is reduced as part of the long term project of reducing Beats inventory. The AirPod X is one of the upcoming products and it will be similar to the BeatsX earphones with a connecting cable for sports and running. The headphones will come with a premium design and will retail for $350. The product is targeted at wrestling some market share from Bose and Beats itself.

Apple is also offering good discounts on the Beats lineup as part of this long-term plan. In this regard, the Totally Wireless Powerbeats Pro which is less than one year since it was launched has already gotten a huge $50 slash in its price on the official website. Apple has also taken the decision to reduce the price of its Beats Solo Pro over-ear headphones by $50 as well. Apple employees are also being offered a 40% discount on the Beats products. This is seen as an attempt to reduce the inventory.

Apple launched its own branded true wireless earphones in late 2016 and it was a huge hit. The AirPods became the best-selling wireless earphones globally in a short time. The second-gen version was launched in March 2019 and the AirPods Pro with noise-cancelling features was launched in October 2019. The products helped propel Apple to a 54.4% market share with a whopping 58.7 million shipments last year. The growth of the AirPods line is responsible for the US company’s decision to phase out the Beats brand. For now, Apple looks to be trying to reduce inventory and the Powerbeats 4 may well be the last product under the brand.

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