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Apple agrees to buy Beats headphone maker for $3bn

29 May 2014 Last updated at 11:33 BST

Apple has confirmed it will buy headphone maker and music-streaming service provider Beats Electronics.

The deal is worth a total of $3bn (£1.8bn), and is thought to be Apple's largest acquisition to date.

As part of the acquisition, Beats co-founders Jimmy Iovine and Dr Dre will join the technology firm.

In a video posted online, Dr Dre is shown celebrating the deal before it was even done, as Michelle Fleury reports.