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Is Beats Beating Bose?



Bose and Beats are duking it out in the headphones space, but it seems Beats, created by Dr. Dre and Jimmy Iovine, is winning with the coolness factor and is attracting  younger customers, as reported by Motley Fool. Beats was bought by Apple for $3 billion last year, and the brand’s association with the Apple ecosystem helps it too.

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Bose has enacted some rather aggressive strategies to punch back against its smaller, younger competitor. Bose is the official headphone sponsor of the NFL, and has demanded that no NFL player can be seen in an interview wearing Beats headsets or in the locker room 90 minutes before or after a game wearing the competitor’s product. Bose means business, because some players have had to pay fines as a result.

Bose sued Beats for allegedly stealing its noise cancellation technology. The two companies settled, and terms were not disclosed, but it is clear that the two are fighting tooth and nail for customers and in legal battles. While Beats is giving Bose a run for its money, the privately held company seems to be in good shape with an estimated market cap of $3 billion and a wide range of products. However, Beats is biting at Bose’s heels with a 62% growth in revenue.

Beats was founded by Dr. Dre and music producer Jimmy Iovine, who was the son of a longshoreman and grew up in Brooklyn. Prior to co-founding beats, Iovine has worked with the greatest musicians in the industry, including Bruce Springsteen and John Lennon



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