Apple has cut its offer to buy Beats by $200 million to $3 billion; but the deal will still be announced this week, sources tell the New York Post. Leaks, new lawsuits and low Beats Music subscriber numbers could all have motivated the slight but significant price reduction from the earlier reported $3.2 billion.
“Apple hadn’t even begun its due diligence process when news of the number came out,” one source close to the talks told the Post yesterday.
But the deal is moving forward with Beats founders Dr Dre and Jimmy Iovine reportedly scheduled to a appear at Apple's Worldwide Developer Conference on Monday. “Apple doesn’t have a streaming music business so it would be a nice instant get, but the hardware is the profitable business,” said a source.