For Apple Beats Audio was a talent acquisition (eg: they got the founders, Trent Reznor and the like) for Apple Music, and a technology Acquisition (Beats strea

For Apple Beats Audio was a talent acquisition (eg: they got the founders, Trent Reznor and the like) for Apple Music, and a technology Acquisition (Beats streaming service and content is powering Apple Music) as well as buying a profitable accessories business. Apple has great gross margins on computers because they have such operational excellence in building them, but still a Mac makes much less margin than headphones- at any price point along the quality curve. Accessories are just generally really profitable.