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The relationship went downhill due to financial terms

Beats Electronics and Monster Cable Products have decided to go their separate ways once their contract expires later in 2012.

Beats Electronics, a brand of headphones and loudspeakers that is marketed by hip hop artist Dr. Dre and Interscope-Geffen-A&M Records chairman Jimmy Iovine, has decided not to renew its five-year contract at the end of the year with electronics company Monster Cable Products, which manufactured the headphones since 2009.

The relationship went downhill due to financial terms, according to Businessweek. Both sides would argue over who deserves the most credit for the idea and for the success of the top-of-the-line headphones.

At the Consumer Electronics Show in Las Vegas this week, Noel Lee, chief executive of Monster Cable Products, unveiled some of his plans for the future of his company post-Beats Electronics. While Beats tends to cater to young 20-year-olds, Monster is looking to appeal to other groups such as athletes, business professionals and women. He showed off some of the company's new headphones at CES, which are now available for pre-order.

An example of Monster's new offerings is a pair of in-ear headphones dubbed the Miles Davis line where the buds are shaped like trumpets and have volume controllers that look like piston vavles. There are currently eight new lines.

"We can be the Apple of the headphones space, with or without Beats," said Lee.

Beats will continue to hold the rights to the sound technology, the brand and the circular design after the break-up. While Beats can be found in HTC smartphones, HP computers and the Chrysler 300 S sedan, it's looking to expand into audio gear for athletes and TVs as well.

"We have very big ambitions for Beats beyond headphones," said Iovine. "Music has got to succeed on the phone or else the record industry will never thrive."

As far as the split goes, Iovine said, "They're doing their thing, and we're doing ours."

And the beat goes on.

Source: Businessweek



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RE: Imagine that...
By Dorkyman on 1/14/2012 2:27:24 PM , Rating: 2
I've had 3 different noise-canceling phones over the years, and maybe 6 regular phones, and 2 in-the-ear Shures.

If all you listen to is amped-up heavy beat music, then you're right, isolating noise is irrelevant. But for every other kind of music, the quiet passages are greatly helped by the isolation.

The ultimate in isolation is from the in-the-ear devices, especially when coupled with expanding foam tips. Blissful silence. Put me on a plane near a screaming infant, I don't care because I can't hear it.

Another big benefit of noise isolation is that you can happily hear your music at a much lower (and safer) level. There are millions of people walking around with permanent hearing loss due to loud music. Ask any hearing doc; it doesn't take a lot of exposure to do it.


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