Designer of Beats Headphones Prototype Discovers There's No Free Lunch

A pair of Beats Electronics LLC "Taxi" headphones at the Beats by Dr. Dre pop-up store in New York, on April 13, 2012. Photographer: Michael Nagle/Bloomberg

Fans of the signature boom in Beats Electronics headphones can thank Mike Klasco, an audio-equipment consultant who was responsible for the speaker and related electronic innards of the original device. But if Apple spends $3.2 billion to acquire Beats as expected, Klasco won't be among those who reap the benefits.

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