After striking success over the past few years, Beats By Dre is splitting from Monster Cable Products when its five-year contract expires at the end of 2012.

According to Business Week, Beats, which held a 53 percent stake of the $1 billion annual headphone market in 2011, has decided to terminate its partnership with the electronics brand. While each company says that there is no animosity, the publication reports that there was ill will over financial terms, “with divergent views on which side deserves the most credit for the line’s success and Beats balking at its share of the revenue.”

Monster is planning on putting out eight lines of headphones to compete with Beats. Jimmy Iovine, Interscope Geffen A&M Chairman, isn’t sweating it. “We have very big ambitions for Beats beyond headphones,” he says. “Music has got to succeed on the phone or else the record industry will never thrive.”

Beats By Dr. Dre Studio Color Campaign

For Holiday 2011 we have reinvented our first and most popular headphone, The Studio, in a spectrum of candy colors good enough to eat. Whether you choose blue, pink, orange, or green, we have the color that “is you.”

Nero’s first live performance at our recently opened Pop-Up store in NYC. Dre, who was in attendance at the performance, chose Nero “Me & You” for the spot’s powerful track.

Album: Welcome Reality (Digital out now, CD in stores 12/13)

iTunes: http://bit.ly/nU506m

(125 days ago)

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