Jimmy Iovine and Dr. Dre
By Nicholas Stix
A tip ‘o the hate to Countenace.
Imagine you’re one of the world’s biggest electronics companies. Someone proposes that you spend $3 billion to purchase an electronics firm:
• Whose main product is lousy;
• Which is (understandably) unpopular; and which
• Was co-founded by a black Nazi.
So, naturally, the thing to do is pay $3 billion for it.
Market-dominant companies that blow $3 billion on worthless acquisitions do not remain market-dominant for long. But this is not a concern to a Michael Santoli of Yahoo Finance, who is apparently some sort of “expert.”
$3 billion dollars is a lot of money for Beats and Dr. Dre, but not for Apple. As Yahoo Finance’s Michael Santoli notes in the attached video, ultimately “is not a big deal for Apple… they’ve probably already earned the free cash flow since the leak first happened a month ago, that’s going to pay for this $3 billion deal.”
No, for Santoli, the problem isn’t the worthlessness of Beats and its products (head phones and a streaming music service), but Apple’s slowness in pulling the trigger.
The larger issue for Apple, in Santoli’s eyes, is that it’s a “company that has a hard time getting off the dime, onto some new initiatives. Maybe this was just going to be a nice little tuck in, why not do it deal, and all of sudden its taken a month of corporate attention span.”
All sorts of irrational behavior by corporations these days is done to placate, or so they think, black supremacists. But you never can placate people who won’t take “yes” for an answer.
The NBA illegally tried to force Donald Sterling to sell the Los Angeles Clippers , in order to placate the black supremacists who comprise the vast majority of the league’s players, as well as various and sundry other black supremacists (e.g., the NAACP), and sought to rig the deal, to make it go to a black owner. League president Adam Silver illegally named Dick Parsons Clippers CEO for the same reason.
Companies make black do-nothings figurehead executives, as Ben & Jerry’s founders Ben Cohen and Jerry Greenfield did already in 1994, in hiring Robert Holland as “CEO,” all the time now. Cohen and Greenfield put on a show, announcing a "Yo! I'm Your C.E.O." contest, which drew 20,000 applicants, as if they were searching far and wide for a competent executive, but they couldn’t keep their lies straight. They ignored all of the applicants, because they had decided in advance that they were going to hire a black based solely on the color of his skin, for a job that was CEO in name only. They had chosen Robert Holland, who left after a mere two years.
Where race is concerned, corporate behavior has gotten ever more irrational and expensive, yet always proceeds on the assumption that the same whites who are getting screwed will pick up the tab. Since the same corporate suits who are picking whites’ pockets to pay black extortionists are working to turn whites into a minority in their own country, soon there will be no one left to pay the extortion.
But there will still be Michael Santolis around to lie about what’s going on… until they are replaced by black liars.
Apple cuts price of Beats deal as WWDC looms
By Pras Subramanian
May 28, 2014 11:56 A.M.
Yahoo! Finance
Looks like Dr. Dre jumped ahead to the "Next Episode" in proclaiming himself the next hip hop billionaire, as the The New York Post reports Apple will paying closer to $3 billion for Beats Electronics, not the reported higher figure. All joking aside, the Post calculates that Dr. Dre’s reported 25% stake in Beats will have him netting $750 million if the deal closes for $3 billion.
$3 billion dollars is a lot of money for Beats and Dr. Dre, but not for Apple (AAPL). As Yahoo Finance’s Michael Santoli notes in the attached video, ultimately “is not a big deal for Apple… they’ve probably already earned the free cash flow since the leak first happened a month ago, that’s going to pay for this $3 billion deal.”
The larger issue for Apple, in Santoli’s eyes, is that it’s a “company that has a hard time getting off the dime, onto some new initiatives. Maybe this was just going to be a nice little tuck in, why not do it deal, and all of sudden its taken a month of corporate attention span.”
Another part of the deal that has investors questioning it has been reports that Beats’ streaming music service only has 111,000 subscribers. Not to mention the fact that some analysts see the headphones as high priced substandard products.
The New York Post also claims the Apple/Beats deal will be announced this week.
Convenient enough, other reports claim Beats founders Jimmy Iovine and Dr. Dre will be in attendance during Apple’s much watched WWDC, a jamboree for Apple software developers.
Most likely we won’t hear about what’s next for Apple at WWDC, Santoli says, but we may likely see what strategy the Beats acquisition has with future Apple services.
Also hotly anticipated is Apple's reported move into home automation, i.e. services that will allow users to control lighting, security systems, home audio, from their mobile devices. Investors and Apple analysts will be keenly listening for any news on that front.
4 comments:
*Crickets*
https://www.youtube.com/watch?v=nN2KHYgxbng&feature=related
AAPL is just trying to buy itself some street cred.
If I was non-black, and making some sort of product, I would live in mortal fear that my product would become popular among blacks.
Why?
Once it does, then there's a good chance that whites and other non-blacks will abandon my product precisely because it's a "black thang."
Then at that point, you're at the mercy of the black consumer market. From there, one or more of three things will happen:
1. A non-black person making money off of black people will invite the Al and Jesse style shakedown attempts.
2. Ghetto blacks in Bell Curve City will start shooting and killing each other over the ownership and possession of my product, and of course I'll have to take all the blame and take all the PR headache for it. Think: Nike "Jordan" shoes, Marmot Biggie coats.
3. In the true Alexander Pope spirit of "a little learning is a dangerous thing," a spirit whose presence is mighty in Bell Curve City, blacks will start and spread rumors that my product was somehow designed to cause harm to blacks, or has secret links to people or groups that want to do the same. Troop Sport jeans having male impotence chemicals integrated into the cloth, and so on. Then blacks will quit buying my product, and like I said above, blacks are my only buyers at this point.
Apple's strategic rationale seems clear to me. According to the article, "analysts see the [Dr. Dre] headphones as high priced substandard products." That sounds like a perfect match for Apple's other products these days.
In response to countenance's comment:
Nike "Jordan" shoes are not a good example of a product that whites and non-blacks have abandoned because they are a "black thang." The Jordan line is the most profitable shoe franchise in the history of the industry. Sales have grown every year since they were introduced and now total well over $2 billion per year.
Likewise, Dre headphones are not a good example of a product abandoned by whites. Since their introduction, they have dominated the premium headphone market ("premium" meaning "expensive," not "high-quality sound"). They are by far the best-selling (and almost certainly by far the most profitable) brand in the premium space, with total sales last year of something in excess of $1.5 billion.
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