OFFICIAL: Dre & Iovine’s Beats Buys MOG
It's been rumored for weeks, but now it's official: Beats Electronics, the company co-founded by musician and producer Dr. Dre along with Interscope, Geffen, A&M Chairman Jimmy Iovine, has agreed to acquire on-demand digital music service MOG. The MOG Music Network (MMN) blog network is not part of the acquisition rumored to be priced around $10 million.
For MOG investors, the sale marks an exit from a marketplace overcrowded with competitors including Spotify, Rhapsody, Rdio and Deezer. MOG, however, fits Beats plan to create an end-to-end premium music experience, that to date that has meant hardware including headphones.
MOG’s music service will continue to operate as an independent company with no immediate changes to the service or impact on MOG users/subscribers. The MOG Music Network (MMN) is not part of the acquisition and will remain its own entity.
MOG employees will remain with the company and will continue towork out of MOG’s offices in Berkeley, CA. MOG founder and CEO, David Hymanwill assume the title of CEO of MOG reporting directly to Beats President and COO Luke Wood.