The audio busines has undergone extensive changes in the past thirty years, but unfortunately not all the changes have worked to the benefit of the industry! Most recently the changes have been somewhat disastrous.

While tremendous progress had been made to advance audio and video products to a fully digital format with exceptional results and to propel us into home theater systems, the industry has actually collapsed upon itself in a manner very similar to what happened in the computer field.

For many years the audio industry was built by "hobbyists" who had a great interest in the field and, due to the interest, began developing products that proved to be very innovative, creative, and functional.

Thirty years ago it was relatively easy to get started in the business especially if the product was loudspeakers. Developers utilized materials that were readily available from a variety of sources so there was little or no development cost required. The primay element was "time" and every developer seemed to possess considerable amounts of that!

Garages and basements seemed to be the areas most widely used to develop products, and then once products were developed regular trips were made to area stereo shops for auditions and for product refinement. Over a period of time many of those innovative designs found themselves fed into the mainstream audio field as nationally known brands such as Allison, AR, KLH, Polk, and many many more.

As can be expected in every industry there is always someone who will build a better mouse trap, and, as a result, refinements and advances began to occur, new technologies and materials were developed, and the stakes were getting progressively higher.

Additionally, as the progression took place more skilled and educated persons were required to expand the product limits. The "hobyists" were gradually being replaced with skilled personnel that demanded good salaries, and, therefore, the cost to do do business began rising. The cost of the products also began to rise!

As with every development there is always the race to be #1. The stakes rise, cost of business rises, and then advanced developments change the rules for everyone. Just when tube developers thought they had the market really going, the transistor was developed. So the race started all over again! We have all certainly seem this progression. And then just when we thought CRT TV's would last indefinitely, High Definition broadcasts rendered them obsolete! Here we go again.

The age of the Compact Disc (CD) brought incredible audio quality to our ears in what we at the time believed to be a "compact size", and the CD's development actualy gave birth to the DVD. One is hard pressed today to find CD players available! We now have iPods with horrible frequency response! It just never ends.

The product development situation escalated to the point where the manufacturing capability had to be done on a grand scale as well. As we then expanded U.S. manufacturing, Asian sources had a cheaper way to build the products, and over a period of time most manufacturing went outside the U.S..

More manufacturers got into the fray, more products were developed, and then a greater number of sales outlets was necessary. The US was flooded with audio products, and the majority of the products actually did the same thing but in a slightly different way. The choices were mind blowing! There was just too much of a good thing.

This manufacturing economy of scale changed the face of the business forever. In 2000, a 50" plasma was $20,000.00. By early 2009, it had dropped to under $2,000.00! So now many products became affordable to more, but there was a deadly down side. Price erosion caused manufacturers to fiercly compete for market share further decreasing pricing and forcing many to sell below cost just to compete! Retailers and specialty consultants were seeing profit margins vanish! On-line vendors had no overhead and could afford to sell for negligible margins, but even those numbers are diminishing.

The downside to all of this is that there was no profit, and without profit businesses do not survive. Numerous local and national retailers have closed, manufacturers in record numbers sold out or closed down, specialty equipment distributors have closed, and now there is barely a brick and mortar audio/video/home theater retailer in existence!

Our advice is to be very careful as to decisions being made and products being considered for purchase without getting expert advice. A buyer today will not get long-term product value from a short-term "deal". Be careful, be cautious, and be sure to speak with knowledgeable persons even if those knowledgeable persons do not have display facilities to demonstrate products.

Make the right choice with the right advice and you will have a fruitful and long-term investment.

We salute all the pioneers that brought us many years of enjoyment with incredible products.

Lest we never forget.