Apple is believed to be finalising a deal to by headphone maker Beats Electronics for $3.2bn.
The firm, founded by music producer Jimmy Iovine and the hip-hop star Dr Dre, is best known for its distinctive headphones.
It is claimed a deal could be announced within days – and mark Apple boss Tim Cook’s biggest ever acquisition.
Apple will acquire Beats’ streaming music service, which launched this year, and its audio equipment business, which includes its brand of headphones and audio equipment, according to a report in the Financial Times.
The Beats management team will report to Mr Cook, said people familiar with the deal.
Apple and Beats declined to comment.