There is simply no two ways about the Beats music deal; it is appearing stranger by the day. Most if not all tech analysts are now scratching their head wondering how this makes sense and some are quite certain this makes no sense for Apple.
I, for one, cannot understand this at all. Initially, I was slightly intrigued but puzzled. Now as both a consumer and investor in Apple I am beyond uncomfortable. It doesn’t make much sense at all and Apple would do well to put their energy into some real solutions. The idea that Beats might be able to fend off the decline of iTunes has modest merit at best.
When you’re at the top of the mountain, as iTunes was for a long time you have only two ways to go. Up to heaven or back down the mountain. Apple could not possibly realistically think they could remain at the top of the mountain forever. Plus, this is not healthy comptiteness.
This move by iTunes seems like folly. It is a diversion from doing the real things that need to get done. From an investor’s perspective is a 3.2 billion dollar investment in this kind of thing wise. It would seem not. I would be surprised if the stock market will react well June 2 if the highlight of Tim Cook’s presentation is Apple buys Beats and there is little else to go with it other than say an iPhone 6 and that sure would not light anyone on fire.
Apple has successfully delivered nothing this year other than a modestly upgraded Macbook Air. They have probably produced one of the worst rollouts of one of their new computers that being the Mac Pro.
Where does the folly end. Hopefully this is not folly and there is something of substance waiting around the corner but something tells me this won’t be the case.
Let’s see what WWDC 2014 brings. It’s not far away now. Eyes will be hard a blazing on this one as only so much can be milked from the Steve Job’s era.