HTC's Beats Tie-Up Didn't Pump Up the Volume
HTC today announced that it is selling its remaining stake in Beats Audio. The company invested $300 million in the headphone and audio company several years ago, and used Beats' technology in its phones. HTC had hoped the partnership would help it sell more devices. HTC sold half its stake last year for $150 million, and today is selling off the rest for $265 million. According to the Wall Street Journal, the relationship between Beats and HTC soured over strategy and investment priorities. Beats is actively seeking new investors as it looks to charge into new markets. Meanwhile, HTC can use the cash due to its declining device sales and on-going capital expenditures. HTC did not say if it will continue to use Beats Audio technology in its phones.