Beats co-founder Jimmy Iovine is expected to leave his post at Apple in August, and now The Wall Street Journal reports he will move to a "consulting role" after abandoning the day-to-day responsibilities of overseeing the music streaming service. the company. Iovine initially denied that he would leave the company in August.
Iovine was one of several high-profile executives that Apple brought when it bought Beats in 2014. Of them, Iovine was one of the most valuable since, as a long-time leader in the music industry, he had the connections to link to Apple with artists and help him to work with labels that could be cautious with the technological giant that ventures into his industry again.
Apple Music has been a success, even when Beats's talent moves away
But Iovine has not had a particularly public role for several years. The Journal reports that, as Apple rubbed the sharpest brand of Beats Music in favor of Apple Music's cleanest and most appealing name, Iovine has been among the executives who discovered they did not quite fit.
It is likely that Iovine's departure is mutual. The Journal notes that its compensation for the acquisition of Beats rests entirely in August, and the consulting function seems to be beneficial for both parties: Apple retains the advice of the music industry of Iovine, while releasing the company from someone who he does not necessarily embody his culture of absolute secrecy, and Iovine manages to leave a company that may not be as interested in his contribution as he is used to controlling.
The Journal reports that the other high profile executives who joined Apple after the acquisition of Beats have left or become less involved with the company from the moment. That includes Dr. Dre, who was supposed to make a series of Apple Music videos last year, which has not yet been released.
Despite losing some of Beats best talent, Apple Music has had surprising success. It is said that it is on track to outperform Spotify among US subscribers this summer and that it currently has 38 million subscribers in total. However, the Journal also notes that Beats has been losing share in the US hearing aid market, although it is likely that Apple is stealing part of its market share with AirPods.