Apple said to be in talks to buy Beats Electronics for $3.2B

Apple said to be in talks to buy Beats Electronics for $3.2B
Apple is reportedly in talks to acquire Beats Electronics, the high-end-headphone maker co-founded by hip-hop artist Dr. Dre, in a deal worth $3.2 billion, according to the Financial Times. The deal could be announced as early as next week, the report says, but has yet to be finalized and could still fail to materialize pending discussions between the two companies. Beyond its line of bass-boosting ear pieces, Beats has also broken into the competitive market for subscription streaming-services, with a mobile offering that, unlike Apple's iTunes and iTunes Radio, offers ad-free, on-demand music listening for about $10 per month. If the deal goes through, Apple will acquire the subscription business alongside Beats' hardware division, with the Beats management team reporting to Apple CEO Tim Cook, the FT adds.Beats declined to comment for this story. CNET has also contacted Apple and will update this story when we hear back. While Apple has long had a favorable relationship with Beats -- the Dre-branded headphone line is featured prominently in both its physical Apple stores and the accessory section of its online store-- the crux of the deal may prove to be Beats Music. Beats' streaming service could become a central part of Apple's music strategy, following the launch of its online radio service, iTunes Radio, last year. Beats Music debuted with a powerful billing and marketing partnership with AT&T and it has reportedly been growing quickly. Though the company has yet to disclose hard and fast subscriber numbers, industry estimates peg the total at about 200,000. The talks come as trends in music purchasing are shifting to subscription services like Beats Music from the one-off digital purchases Apple's iTunes has long dominated. Data from the Recording Industry Association of America found that paid subscription services grew the fastest of all digital formats last year, rising 57 percent, while revenues from permanent digital downloads that are iTunes' specialty declined 1 percent.Beats, established in 2008 by Dre and longtime music industry executive Jimmy Iovine, is known for hyper-hyped headphones that critics dismiss as being all celebrity endorsement and little substance. But the splashy branding and big-name partnerships have resonated with mainstream consumers, with Beats holding the biggest share of the headphone market despite the high prices of its products, which start at around $99 for earbuds and go all the way up to $450 for pro-grade over-the-ear headphones.In Beats, Apple could have a brand partner that knows how to instill a refreshed cool factor into the Cupertino, Calif. company's product line and marketing. Despite its hardware lead, Beats has had a rocky relationship with investors. In August 2011, hardware manufacturer HTC pumped $309 million into the company to acquire a majority stake of 50.1 percent. But it sold back half of that stake in July 2012 and the rest in September 2013 to ensure that it did not incur its second ever quarterly loss. But around the time of Beats' buyback of HTC's remaining 25 percent stake, Beats received a $500 million investment from private equity firm Carlyle Group that valued the headphone maker at $1 billion. Apple has more than $150 billion in cash reserves, so overpaying for Beats to the tune of $2 billion is unlikely to raise alarms. Apple's biggest acquisition ever? A custom Beats design featuring an Apple logo.OneMoreBlog.comAn Apple-Beats marriage would mark a significant shift for the iPhone maker under Cook, who took over as CEO from Steve Jobs in August 2011. The company has long shied away from headline-making purchases in the realm of billions of dollars, and has often kept the details of its splashiest purchases, like iOS-software-staple Siri, under wraps.Still, at $3.2 billion, a Beats acquisition would be one of the highest -- if not the highest -- price tags Apple has ever considered."In terms of acquisitions, Apple has been very, very light in their activity," Richard Lane, an analyst at Moody's, told the Financial Times. "I don't think they've spent $1 billion in any of the last four years."Apple's largest public acquisition on record is the $400 million plus debt it paid in 1996 for computer manufacturer NeXT and its NeXTstep operating system, the company Jobs founded nearly a decade earlier after being ousted by Apple. Since taking over as CEO, Cook has slowly been molding Apple's narrative to one more open to bolder moves -- unlike Jobs who preferred holding on to the company's cash. In the last few months, Cook has talked openly about Apple's acquisition strategy."We're not in a race to pay the most. Not in a race to get the headline," Cook said at a shareholder meeting in February. That was likely a veiled reference to both Facebook's blockbuster acquisition of messaging service WhatsApp for about $19 billion and Google's buyoutof smart thermostat maker Nest for $3.2 billion. But he didn't rule out a splashy buy. "That doesn't mean we won't buy a big company tomorrow afternoon." Beats would join a growing list of purchases Apple has made since ramping up its portfolio-building under Cook."From an acquisition point of view, we have done 24 in 18 months," Cook said during a conference call last month to discuss the company's second-quarter earnings. "That shows that we're on the prowl, I suppose you could say."We're in a race to make the world's best products, that really enrich people's lives," Cook added. "So to the tune that acquisitions can help us do that -- and they've done that and continue to do that -- then we will acquire. And so you can bet that you will continue to see acquisitions and some of which we'll try to keep quiet and some of which seems to be impossible to keep quiet."It would appear that a $3.2 billion deal is one Apple can't keep confined to Cupertino, Calif. CNET's Joan E. Solsman contributed to this report.


Mastering engineer muses on sound of music

Mastering engineer muses on sound of music
Dave McNair has been playing, recording, mixing, producing, and mastering music for more than 30 years and has worked with a wide range of artists including Los Lobos, Stevie Ray Vaughan, Patti Smith, Miles Davis, Willie Nelson, Angelique Kidjo, and John Mayall. He now works for New York City's top mastering house, Sterling Sound.I interviewed McNair for Tone Audio magazine, this is just a small part of it.Q: How has the mastering engineer's work changed from the days when analog audio ruled the roost?When they were cutting records from analog masters, mastering engineers were caretakers of rather fragile analog signals. It wasn't an easy thing, trying to get it from Point A to Point B without losing the music. Back then the mastering engineer didn't compress or limit the signal all that much, you wanted the end user to hear all of the punch and leading edge dynamics. But now that things are so clean on the recording end mastering is a bridge from mixing to the duplication process. You might be adding the color that might have once been added by analog processors or mixing consoles. Q: 'Color,' is that the same thing as sweetening?Right, I'm chasing this idea, I want to make CDs sound like LPs. Q: By adding complementary distortions?Not always, but sometimes. I want to get more of the effortless sound of vinyl on CDs. Q: It's pretty complex, but I agree, analog distortions can sound more musical than digital, even high-resolution digital. Right, they add flavor, texture, and harmonics, but I'm not speaking for all mastering engineers; many still use a very simple path and stay away from enhancements.Q: Like compression, you guys love compression. But the music was already compressed during tracking and mixing, why compress it again? Not always, maybe 20 percent of the time I get stuff that's not compressed enough. That's only because there's so many more new-to-the-game, semiamateur engineers making records these days. They're recording some really great, artistically valid bands, but it winds up sounding like a documentary style of recording. They leave it to the mastering guy to make it work, so I need to make the sound more dense, gluing the elements together. Q: I'm guessing that 99 percent of the stuff you master is going to be listened to as iTunes or MP3s via $20 computer speakers, freebie earbuds, or car audio systems. You have to make music sound good for the real world.I have never consciously made an audio decision thinking this would sound better on MP3, or a small speaker. Somebody figured it out a long time ago that if you judge the overall EQ, dynamics, and the things you can alter in mastering over a really full-range, low coloration system it will naturally sound better in a wide variety of systems. I occasionally monitor over headphones, just to hear the music from another perspective. And I also listen to things I'm working on in my car, to see how the bass sounds, but I don't ever really tweak it that much based on what I hear in the car.


Apple's iWork, iLife updates draw ire from some power users

Apple's iWork, iLife updates draw ire from some power users
At Apple's live event earlier this week, iWork and iLife users were given a treat: free upgrades to major new versions of the company's productivity and lifestyle apps.The move, which follows one the company made last month on its mobile platform iOS, is part of a broader effort to offer many of its paid software apps for free.But, according to some longtime users, the new versions of the apps are a step backwards in functionality. Many have taken to Apple's official support forum to air their grievances.Among the features users say are missing from the revamped Pages, Apple's word processing app: the customizable toolbar, endnotes, and many templates. Apple also has taken down a chart from its Web site that lists feature compatibility between iWork apps and Microsoft Office apps, like Microsoft Word to Pages and Power Point to Keynote -- something it once touted to lure over switchers.Apple declined to comment on whether those features would return in future updates.The reason for the change seems clear. Whenever Apple does a big software revamp like this, it's in the name of simplification. The new versions of the iWork and iLife apps are designed to be more in tune with their counterparts on iOS. This makes sense given the new sharing capabilities Apple just added, allowing users to start work on one device, like an iPad, and pick it up on, say, a Macbook. But in the pursuit of unity between all of its devices, some features have gotten lost in the shuffle.When Apple announced its bevy of free software updates earlier this week, some thought the thinking behind the move was to use software to sell hardware. But, in giving iWork away for free to new Mac users, part of it was a low-risk play against Microsoft -- and its venerable Microsoft Office paid software suite -- to lure users to Apple services. "I'm sure there are some Microsoft product people laughing and thinking, 'I told you so,' but I don't think they are taking it too seriously," said IDC analyst Melissa Webster, who covers productivity software for the research firm. "iWork was never meant to be a Microsoft Office killer. I don't even think Apple thinks of it that way."The good news is that customers can still use older versions of the apps, if they have them.This isn't the first time an Apple software overhaul has upset longtime users.When the company released Final Cut Pro X in 2011, it was a complete rethink of its predecessor. It had a new user interface, and key features aimed at pro users (like multi-camera editing) were missing. Apple eventually brought back some of those features, including multi-cam editing, though the jump was jarring enough to scare away some, and competitors like Adobe Systems and Avid capitalized on it with steep discounts for Apple users.A similar thing happened with Apple's consumer video software years before. When it revamped iMovie for its 2008 version, many features were removed as well, and users complained. Again, Apple restored many of the features in the following years. There was also last year's iTunes 11, which got rid of more than half a dozen features in its initial version, but that's been adding some back in (along with new ones) over time. A "faux pas can give Apple a black eye," Webster said. "But I think we can bet on Apple remedying the problem when customers howl loudly enough."[Via 9to5Mac]


Tengami takes you on a breathtaking papercraft adventure

Tengami takes you on a breathtaking papercraft adventure
Sometimes a game comes along that urges you to take your time â€" to soak up the gorgeous atmosphere, to explore the world and solve puzzles at a leisurely pace. It's about the journey â€" not the finish line. The Room is one such game. Year Walk is another. And now we have one more to add to the list: the newly released Tengami.And yet, Tengami is not quite like any game we've seen. It's based on the idea of a pop-up book and set in a sort of mythical feudal Japan. You control a young Japanese man â€" although the actual details of the plot remain to be unfolded as the story progresses, with very minimal exposition and even fewer directions.It plays out, in fact, a bit like a dream: you unfold the landscape and wander through it, solving puzzles and collecting items to advance to the next stage of the story. And everything works as it would in a pop-up book: tabs that can be pulled allow you to removed obstacles and move items, and standing on glowing portals allows you to turn the page, collapsing the current scene and reopening the next.(Credit: Nyamyam)Each action, and each puzzle, needs to be figured out by you â€" first, what the puzzle actually is, and then what you have to do to solve it. A series of four chimes, for instance, needs to be rung in a particular order, but the game gives you no clues as to what that order might be.Meanwhile, there's not a single flaw in the aesthetic execution. Your character, when turned sideways (or facing towards or away from you, since he is viewed from the side), all but disappears â€" he is, after all, made of paper. Each environment collapses perfectly â€" you can easily imagine the scenes crafted out of real paper, and, in fact, they could be."Tengami's world is built as an authentically folding three dimensional pop-up book with an all new technology created just for this game," the game's description reads. "Everything seen in the game could be recreated in real-life with just paper, scissors and glue." The development team even scanned real sheets of paper to create realistic textures for the world. The result is something unique, beautiful and absolutely worth playing.Once again, an indie developer has proven that a game can indeed be a breathtaking work of art.Tengami is available as a universal app for AU$5.49 from the iTunes App Store.


iTunes 10.1- Sound quality issues

iTunes 10.1: Sound quality issues
ASD user Djezz notes:"iTunes 10.1 narrows the stereo image and sounds canny.All hints followed but no improvement. Easily identifiable on a pro meter.Dragging an mp3 out of iTunes into the Finder and playing thru QT reveals that the Mp3 itself is fine. But the iTunes playback quality of the same file is definitely not. Both AIFs and Mp3s suffer from this detoriation." If the MP3 file is the issue, try checking out the frequency range settings in the Audio MIDI Setup application as suggested by ASD user micih:"Open Apples AudioMidi-Application and check frequency and bit rate for your interfaces' output!In my case the frequency range was set to 8000kHz for the sound sticks, put it back to 44.1kHz and Tatatataaaa: crisp sound again! (you may have to restart iTunes to have it respect this setting)." Screenshot by Joe AimonettiOne fix, should the issue continue with the above settings in place, may be this, from ASD user edgemusic:This is a fix that has been working for some, and maybe all:(adapted from a post by "FSD" from a thread on Gearslutz that is discussing this topic:Close iTunesIn system Preferences, change the sound output from your external interface to Line outOpen iTunes and start to play some musicWhile iTunes is playing, change the Line Out back to your external interfaceYou may well have to do this each time you launch iTunes - I don't know yet.Link for thread: http://www.gearslutz.com/board/music-computers/549883-itunes-10-1-ruined-playback-sound-totally-3.html Right now, the core issue does not appear to be fixed. Apple has no official documentation on this specific issue, though it is likely an issue that would be fixed in updates.Be sure to follow MacFixIt on Twitter and contribute to the CNET Mac forums.


Apple, Microsoft join carriers in $750M pledge to education

Apple, Microsoft join carriers in $750M pledge to education
President Barack Obama has won a commitment totaling $750 million from a number of technology companies to help low-income students in K-12 public schools get early access to the Internet and educational tools.Apple is pledging $100 million in iPads, according to the AP. Microsoft is offering up its "billion-dollar response," which is essentially the potential to inject $1 billion in savings into the system. The company will offer Windows-based tablets, laptops, and devices through its manufacturing partners; 12 million copies of Office; copies of its Windows 8.1 Pro operating system; and student and teacher educational resources. Related storiesWith RealNetworks' influence waning, CEO departsMicrosoft brings kids developer tool to the PCReports: Tech recovery driven by developing nations, cloudIT players in motionGoogle's peers mulling their options in China Meanwhile, AT&T and Sprint are pitching in with a pledge to provide free wireless service to students. Verizon will invest $100 million in cash and other contributions to accelerate the development of teachers dealing with science, technology, engineering, and math.President Obama is scheduled to announce the program later Tuesday. The Federal Communications Commission is also expected to set aside service fees over two years to connect another 20 million students to broadband Internet. The moves are all part of Obama's ConnectEd initiative, which was name-checked -- alongside several of the companies -- during his recent State of the Union address. One of the President's priorities has been to provide high-tech tools and online access to students to improve education and to focus on the ultra-competitive areas of tech and science.The White House has a goal of connecting 99 percent of students with high-speed Internet within five years, something that other countries already enjoy.


Apple, Intel suffering from the seven-year itch-

Apple, Intel suffering from the seven-year itch?
Is Apple's relationship with Intel suffering from the seven-year itch?Seven years ago, Apple switched over to Intel for its desktop and notebook products. Now a Bloomberg suggests the company is investigating how to port "a version of the chip technology" employed in the iPhone and iPad for the Mac across the rest of its product families.The report cites unnamed sources described as familiar with the company's research. It also says that no final decision has been made -- which may mean this turns out to be much ado about nothing.Apple's home-made A6 chipApple has invested heavily in developing its own chip designs based on the non-Intel, ARM architecture to power its mobile devices, including the iPhone and iPad. Apple is most likely looking to have a common processor base, which it has more control over, so that all applications could run across its product families without modifications needed to address the different chip sets. The A6 chip that powers the iPhone 5 was built by Apple, after spending $400 million to acquire chip companies -- PA Semi and Intrinsity -- and millions to license the ARM chip technology.Read: Apple's A6 chip development detailed Linley Gwennap, a chip analyst with The Linley Group, predicts that Apple will develop new CPU designs every two years, similar to the product release cadence of Intel and AMD.Intel said it does not comment on rumors and speculation. We've contacted Apple and will report back when we have more information.


Apple, Intel skating to mobile face-off in 2013

Apple, Intel skating to mobile face-off in 2013
With signs that Apple has designed one of the fastest smartphone chips yet, Intel is getting set to rev up its smartphone silicon in 2013. Performance benchmark site Geekbench is already showing the iPhone 5's dual-core A6 central processing unit (CPU) with roughly twice the performance of the A5 chips in the iPhone 4S and third-generation iPad.And Geekbench also has the A6 edging out the quad-core chip in Samsung's Galaxy S III.And there may be aquad-core Apple A series chip in the works for 2013, according to Linley Gwennap, the principal analyst at The Linley Group. Ironically, Apple is eclipsing Intel, the world's largest chip company, in smartphone silicon.So, what can Intel do? Well, it took a step in the right direction today with the Motorola Razr i, which sports an Intel Z2460 system-on-a-chip (SoC) running at speeds of up to 2GHz, one of the highest gigahertz ratings for a smartphone.Intel will follow this up with the dual-core Z2580 (the 2460 is single-core) by early next year and, to address the U.S. market, will add 4G LTE capability.All of the Intel-based phones announced to date, including the Razr i, have been for overseas markets.Related storiesiPhone 5 benchmarks surface: Performance doublesMotorola unveils its first Intel-powered smartphone: Razr iWhich is another challenge for Intel.It needs to land a future chip in a flagship product from a major U.S. vendor to demonstrate that it has really arrived in smartphones. Could a phone with Intel's dual-core Z2580 hold its ground against the iPhone 5 and Apple's A6? We should know by early next year.


Apple, Intel results show laptop alive and well

Apple, Intel results show laptop alive and well
It may be the tablet that's due for a reality check. "You have to wonder if the MacBook Air isn't cannibalizing the iPad," Ashok Kumar, an analyst and Rodman & Renshaw, said in a phone interview.Kumar was reacting to Apple's financial results yesterday that showed lower iPad shipments than analysts expected (11 million actually shipped versus estimates of 13 million to 14 million)."That's a sizable shortfall. You would have to presume that is due to the MacBook Air," he said. Keith Bachman, BMO Capital Markets, said the same thing: "While we believe that MacBook Air sales may have cannibalized some of iPads, we are disappointed in iPad sales. We have reduced our iPad estimates by 2.5 million units in FY2012." Apple shipped a record 4.89 million Macs, most of them MacBooks, in the fourth quarter. And remember that tablets from Google's Android camp (Motorola, Samsung et al) aren't exactly flying off the shelves. While Amazon's Kindle Fire holds a lot of promise, it and Hewlett-Packard's now-defunct TouchPad tablet prove that price points have to be way below even a low-end laptop (which, by the way, sell annually in the hundreds of millions) to generate broad buyer interest in that platform. Need further proof? Intel continues to defy conventional wisdom by shipping lots and lots of laptop processors.Intel's record-setting third-quarter results, also reported Tuesday, were "driven largely by double-digit unit growth in notebook PCs," according to CEO Paul Otellini.That said, it does have analysts scratching their heads because of the mistmatch with market researchers' quarterly figures.Intel contends that market researchers may be underreporting--perish the thought--robust sales in emerging markets. Of course, this won't stop another journalist from writing the most overused headline in the annals of tech reporting: the PC is dead! Whatever.


Apple, Intel in talks for chip deal -- report

Apple, Intel in talks for chip deal -- report
Intel might be trying to line up Apple's chip production, according to a new report.The companies over the past year have been in talks for Apple to move its mobile chip production from Samsung to Intel, Reuters is reporting today, citing people who have knowledge of their discussions. So far, however, Intel and Apple have been unable to reach an accord.CNET previously reported that Apple and Intel have been talking about a foundry relationship.That Apple and Intel have talked boosts a claim made last week to Reuters by Intel custom foundry vice president and general manager Sunit Rikhi that his company is ramping up to take on a major mobile customer. Rikhi declined, however, to say that the customer could be Apple.Related storiesIntel cites AMD exec who 'would never buy' AMDHP, Microsoft enter integrated-systems eraIntel earnings surge 875 percentIntel to tap 32-nanometer chips for 2010 growthFingers-on with Stantum's touch-screen Dell tablet prototypeReuters' report comes a couple of months after RBC Capital Markets analyst Doug Freedman said that Apple and Intel might be imagining a new partnership in which Intel would build the iPhone maker's ARM-based smartphone chips in exchange for it using Intel's X86 processors in its next-generation iPad.Apple has relied on Samsung for years to build its mobile processors. However, as that company's mobile efforts continue to pressure Apple's, the iPhone maker is looking for alternatives. In addition to Intel, Taiwan Semiconductor, among other chip makers, have reportedly been considered by Apple.CNET has contacted both Intel and Apple for comment on the Reuters report. We will update this story when we have more information.


The Last Sci-fi Blog: Examining the Current State of 'Star Wars' and 'Star Trek

When it comes to science fiction, you don;t get much bigger than Star Wars and Star Trek. The grandfathers of modern popular sci-fi, these two franchises represent different sides of the same coin. One is fantastical and old-fashioned, telling stories of heroes and villains in an epic, operatic struggle. The other is optimistic and smart, telling tales of technology and ethics and diplomacy. Both have passionate fan bases. Both are essential pieces of modern popular culture. And both are in very, very interesting positions at the moment.In a bizarre turn of events, Star Wars and Star Trek have essentially switched places over the past few years and no one saw this coming.To fully understand the current status of Star Wars and Star Trek, it;s important to remember that the former has always been a massive mainstream success with audiences all over the world and that the latter has always catered to an obsessive niche. It;s also important to recognize the two years when that began to change.The first of those years was 1999, which saw the the release of Star Wars: Episode I -- The Phantom Menace. Sure, the prequel films were all massive box office successes, but they also brought the franchise;s reputation to an all-time low. A couple of billion dollars in box office receipts feel like nothing next to the cultural impact. Suddenly, the most popular film series in the world was a laughingstock and with the ever-stubborn George Lucas at the reins, it was going to stay that way.The other important year to consider here is 2009. J.J. Abrams; controversial Star Trek reboot certainly seemed like a toxic idea from the start, but its actual release changed everything. Mostly glowing reviews and exceptional (but not mind-blowing) box office greeted the film, which felt like a shot of pure adrenaline into a series that a lot of people viewed as stodgy and dated. Suddenly, for the first time ever, Star Trek was cooler and more popular than Star Wars. The niche nerds still complained that they had to turn Star Trek into Star Wars to achieve this (and they are partially right), but for the first time in over a decade, Gene Roddenberry;s vision of the future actually felt relevant to real people.So what the hell happened in the past five years that flip-flopped both of these franchises into their previous states? The two-part answer is pretty simple: Disney bought LucasFilm and Star Trek Into Darkness happened.For the first time in nearly 16 years, Star Wars fans have a reason to feel good about the future of the series. George Lucas is no longer involved. Disney is actively avoiding the prequels and embracing the characters and tone of the original trilogy. Director J.J. Abrams (who fled Star Trek to make this movie) cast a bunch of really cool actors alongside the saga veterans. Everyone looked at the second and third prequels with nervous, forced optimism. Now, everyone is looking forward to Star Wars: The Force Awakens with genuine joy and enthusiasm.Meanwhile, people didn;t like Star Trek Into Darkness and fans haaated it. Like, really, really hated it, even voting it as the worst Stark Trek movie of them all at a fan convention. Add the middling box office into the equation and you have a series that squandered all of its goodwill on a sequel that made as many poor decisions as the original made right ones. Everyone felt betrayed by the film and Abrams began to look like a very smart man for running as fast as he could toward Star Wars.We are still watching Star Trek try to save itself. In the past month, Paramount has removed Roberto Orci from the director;s chair (a decision that was greeted with praise by fans) and replaced him with Justin Lin, the energetic mastermind behind the best films in the Fast and Furious series. It;s a decision that feels… well, I don;t know how that feels. Lin is an incredible director of action with plenty of experience handling large ensembles. However, his high-octane filmmaking doesn;t immediately scream Star Trek. This could be a Wrath of Khan shot in the arm or it could be a disaster. No one knows. Are we supposed to be optimistic or trepidatious? Who knows?As we enter 2015, one of the biggest science fiction franchises on the planet has found itself rejuvenated and the other has entered crisis mode. With Star Wars: The Force Awakens opening on December 18 of this year and Star Trek 3 arriving in the summer of 2016, both of these titans get to have a showdown. It;s not a David and Goliath story. Think of it as a Goliath and Goliath story, only one of the giants has taken a pretty devastating phaser blast while the other has found his second wind.Look at it this way: both franchises have something to prove at this point. Abrams and Lin have been tasked with repairing the tarnished images of the two most iconic series in the science fiction genre. They know they can;t blow this… and surely that;s a good thing for both projects.