How Apple, Google are 'both winning': Andreessen

Andreessen on Apple

It's not a question of whether Apple's iPhone or Google's Android is winning the smartphone war, venture capitalist Marc Andreessen told CNBC, because they're both wildly popular.

"The funny thing that is happening right now is Apple and Google are both winning," Andreessen said in a "Squawk Box" interview that aired on Thursday.

"Apple is doing phenomenally well at the high end of the smartphone market,' he continued. "Android is [also] this just gigantic success. There's over a billion Android phones."

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By the end of the decade, "basically everyone will have a smartphone," said Andreessen, who used that prediction as part of his argument for why Apple's $3 billion purchase of Beats Electronics makes sense. Many analysts have questioned the deal, which was announced last week.

"We think about stuff in terms of market size," Andreessen said. "Think about the number of people today who have an iPhone or an iPad or Mac. And then think about the number who are going to have those things in 10 years."

"Think about how important music and sound is in people's lives, and the Apple ecosystem today," he added. "Think about having [Beats] headphones attached to every single Mac, every single iPhone. Think about the up-sell."

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He also likes the Beats streaming music component and that music insider and Beats co-founder Jimmy Iovine comes on board at Apple as part of the deal. "Think about having Jimmy Iovine on your team, who I think is one of the best entrepreneurs of our time."