Before focusing on the importance and implications of this share movement, we will have to take a look at the love / hate story that they have been maintaining. HTC Y Beats Electronics for a while now. Whether or not by chance, the probable termination of the relationship between the two companies advanced by the Wall street journal coincides with the second anniversary of the acquisition of more than 50 percent of the headphone manufacturer’s shares by the Taoyuan-based company, a move that marked a disbursement of more than 300 million dollars – more than 225 million euros to change -.
Shortly after, the first smartphones began to appear in international markets HTC equipped with the motor Beats Audio And since then, a large percentage of the Taiwanese company’s mid-range and high-end devices have been accompanied by the red logo of the popular sound item firm.
Since then the evolution of both companies has been somewhat uneven since, while the smartphone manufacturer has chained months and months of sales and income reduction – accompanied by some models that have not worked in the way that it would have liked to HTC -, Beats Electronics has been gaining popularity, money and importance that few expected when Andre Young – better known as Dr. Dre – and Jimmy Lovine founded the company back in 2008, reaching about 2012 billion dollar revenue.
The differences between the two ended up crystallizing in early 2012 when HTC resold to Beats Electronics half of its stake in the company, an operation that resulted in net losses for the Taiwanese firm close to five million dollars – around 3.6 million euros -.
Now and shortly after the appearance of certain information regarding a possible withdrawal of HTC from the world of mobile telephony and even its imminent sale, we hear this news of the possible departure of the Taiwanese company from the shareholding of Beats Electronics. A move that could be used by other firms to try to associate their devices with the Dr. Dre audio brand but which, according to the sources consulted, seems to respond more to a growth strategy of the company based in California since it could be also looking for an investor to support its expansion in the consumer electronics sector.
Neither company has yet confirmed or denied the breakdown of the business relationship that unites them and that, all things being said, has the prospect of being a bigger blow for HTC than for Beats Audio.