Monster sues Beats and co-founders for stealing technology

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beatsApple acquired Beats Electronics for a whopping US$3.2 billion last year, but one former partner is not happy about the deal. Monster, who helped designed and manufacturer the original Beats by Dr Dre headphones, has filed a lawsuit against Beats and its co-founders in the San Mateo County Superior Court.

First spotted by USA Today, Monster is accusing Beats for stealing its technology, purposely misrepresenting Monster’s involvement in the creation of the Beats by Dr Dre headphones, and committing fraud. It also accuses them for trying to push them out of the headphones market, alleging that they told Monster resellers and distributors to “choose between Beats and Monster.”

Monster and Beats severed their ties in 2012. According to BusinessWeek, while the split was amicable, both ties could not agree on who “deserve the most credit for the line’s success.” Before the partnership ended, its audio gear sales (mostly from Beats headphones) accounted for 60 percent of its revenue and profit.

In addition to Beats and its co-founders Dr. Dre and Jimmy Iovine, both Apple and HTC are named in the lawsuit. HTC was a previous investor in Beats, investing US$3 million in Beats Electronics in 2011.

The full lawsuit can be found below.