Acquisition Overview
Bose sees the company as a way to reach a wider audience.
Integration and Strategy
Bose has acquired Skullcandy and is adopting the headphone and speaker company as a separate brand under its consumer audio business. Bose did not share how much it paid for the company in a press release announcing the acquisition, but a collaborative relationship between the two audio rivals has existed for several years. Skullcandy has released multiple audio products featuring Bose sound technology, including its recent Skullcandy Crusher 1080 headphones.
Integration and Strategy
Following the acquisition, Skullcandy will continue to operate from Park City, Utah, where it was founded. The company will also benefit from greater access to Bose's technology and resources, which should enable it to continue to grow and develop. For Bose, the acquisition is focused on Skullcandy's audience. The lifestyle-oriented audio brand has inroads into the worlds of sports, gaming, music, and fitness that could allow Bose to connect with consumers in markets where it has less presence.
Leadership Statements
For more than 60 years, Bose has been committed to delivering audio experiences however and wherever people choose to listen. As the company works to reach even more people, it is expanding how it does that, not only through Bose products, but through technology partnerships and a growing portfolio of brands, according to Bose CEO Lila Snyder.
Market Impact
Bose is well known for premium audio experiences and active noise cancellation, while Skullcandy reaches a younger, more varied demographic. The deal positions Skullcandy to benefit from the trickle-down technological developments of Bose's higher-end headphones while helping Bose target lifestyle-driven consumers.
