Is Apple Neglecting Beats’ Headphone Business in Favor of Its Own?

The Verge has a story today by Micah Singleton in which he wonders whether Apple still cares about Beats, the company it acquired in 2014. As Singleton notes, no new products have been released under the Beats brand in 2018, and The Verge’s sources say we shouldn’t expect that to change at Apple’s keynote tomorrow.

Nonetheless, Beats continues to have marketing successes, like recently becoming the official headphones of the NBA and USA Basketball. However, the dearth of new products coupled with competition from Apple’s wireless AirPods and rumored premium over-the-ear headphones puts Beats in a tight spot, which Singleton argues is a mistake:

Apple has its eyes set on the high-end audio market to compete against the likes of Audio-Technica, Bose, and a rapidly improving headphone ecosystem. But neglecting the team that has been able to sell slightly above-average headphones at a breakneck pace for nearly a decade doesn’t seem like a smart business move for either party. If you are the official headphone company for United States Basketball, it seems wise to continue releasing new headphones. And if you are Apple — and your history with headphones and speakers has precisely one win, despite many attempts — you should lean on the company you own that hasn’t missed yet.

Beats jump-started Apple’s music streaming efforts, but other than adding the W1 chip to its wireless headphones in late 2016 and 2017, there have been few signs of Apple’s plans for Beats. I hope Singleton is wrong about Apple neglecting Beats because it would be a shame to squander the company’s valuable brand, though I suspect he may not be.