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Apple Removed Headphone Jack From New iPhones Because It Owns Largest Bluetooth Headphone Company (theverge.com)

Apple's new iPhones -- the iPhone 7 and iPhone 7 Plus -- don't have the headphone jack. The company's SVP Phil Schiller said the move signifies "courage" from the company to put a 100-year-old audio standard to bed. But there could be one more reason for this transition to a Bluetooth/Wireless headphones future: it owns the largest Bluetooth headphones company -- Beats. The Verge reports: More likely is that the lack of a headphone jack on the iPhone -- and increasingly, on Android phones as well -- will lead to an uptick in sales of Bluetooth headphones. And it just so happens that Apple owns the number one Bluetooth headphone company, Beats. Beats brings in more revenue from Bluetooth headphones than LG, Bose, or Jaybird, according to NPD figures released in July. In terms of unit sales, it controls over a quarter of the Bluetooth headphone market. Bluetooth headphones are also disproportionately profitable among headphones. NPD has them accounting for 54 percent of all dollars spent in the market, despite representing only 17 percent of units sold in the U.S.. These headphones sell at high prices with high margins, and Apple's company is making the best of it so far. Sales of Bluetooth headphones are already growing, with units up 64 percent year over year according to NPD's US figures. And Apple's removal of the headphone jack is likely to give them another boost.

4 of 311 comments (clear)

  1. Re:Apple is trying to make money? by Anonymous Coward · · Score: 5, Insightful

    Yeah and they sure don't let ethics get in the way either.

  2. Re:Apple is trying to make money? by Anonymous Coward · · Score: 5, Insightful

    No, they bought Beats because Beats is _exactly_ the same style of business that Apple is and a perfect match. They make high-margin pieces of shit electronics which command high prices because they're fashion accessories.

  3. Re:Not Causal by JamesTRexx · · Score: 5, Insightful

    Don't forget to mention with a simple piece of wiring between phone and speakers there's no need to replace batteries or have to recharge the earbuds often.
    Sounds more environmentally responsible too.

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  4. No benefit other than losing the cord by Bruce+Perens · · Score: 5, Insightful

    Headphones, and your ears, are analog. The signal gets converted from digital to analog before you can hear it, and is amplified. So, do you want to use the amplifier in the phone, which has a nice big battery and a powerful amplifier that can also drive the speaker, and that can easily dissipate any heat from the amplifier, or the amplifier in your headphone, which if it's an in-ear one is going to have limitations regarding the battery and the amplifier.

    It is not even theoretically possible for a Bluetooth headphone to make better sound. At best, it's the same. The only benefit is that you lose the cord.

    This was an astonishingly cynical move and I hope that Apple loses customers over it.