Apple valued Beats Music at just under $500 million when calculating its $3 billion offer and subsequent deal to buy Beats, according to new reports. $500M is a very aggressive price for a 4 month old music service with just 250,000 subscribers. Apple paid $2000 per user for Beats Music. By comparison, Spotify which has 10 million paid subscribers worldwide, raised $250 million last November at a valuation of $4 billion or $400 per paid subscriber. A source close to Beats told the Wall Street Journal that it had 2013 sales of $1.3 billion headphones and other audio gear, and...

More...