Dr. Dre could be set to become hip-hop's first billionaire.

The rapper and producer is in talks to sell his Beats Electronics headphones business to technology giant Apple for $3.2billion, making him the richest hip hop star in the world, according to the Financial Times.

In a recent article in Forbes magazine, Dre ranked as the second wealthiest rapper, behind Puff Daddy, whose estimated worth is $700 million, but the new deal would put him ahead of the star, who has earned money from his Revolt TV business as well as music.

Dre prematurely described himself as "the first billionaire in hip hop" in a video posted on Instagram, which has since been taken down, as the Forbes.com claims he would only cash in on his 20 to 25 per cent stake in the business, meaning his net worth increase from $550 million to about $800 million.

The 49 year old transformed into a business mogul in 2008 when he launched Beats by Dr. Dre with music producer and friend Jimmy Lovine and the pair will soon make a huge investment if they decide to sell the business.

Third on the rich list of hip-hop stars in Jay Z, who is worth an impressive $520million, thanks to his Rocawear clothing line, tours, and Roc Nation record label.