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Factory tour of Audioquest

amirm

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Interesting recent stereophile video of Audioquest. Starts rather slow but gets better past the halfway point.

I had no idea they were such a substantial company. Revenues must be in tens of millions of dollars to have this many employees and dual facilities.

 

RayDunzl

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Excellent quality...
 

Fitzcaraldo215

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Well, I never had a doubt that AQ builds a very high quality cable or whatever that is carefully QC tested and will not fall apart. That was never an issue with me. And, it was the very least they could do for the exhorbitant price. The only real issue goes to vague, subliminal or even explicit claims about superior technical performance in some way and the dodgy marketing of those claims with zero objective substantiation. That was true in spite of the fact that the nature of the claims was usually specific enough to be measurable. Huge problems for me.

As to Amir's point of surprise about the company's size, I am not at all surprised. I have no doubt that Bill Low is worth many millions as a result of successfully carrying out his clever and persistent marketing of very high profit margin products by cleverly playing to gullible audiophiles and their golden ears, plus dealers and reviewers on their greedy ride along with him. I especially love the regular product obsolescence and model turnover every couple of years in cables, hardly a hotbed of new technological discovery.

He is no fool, and he has pulled off a great triumph of pure marketing of BS in what had been an undifferentiated, bulk commodity product category overturning science and common sense. Maybe they already have become one, but AQ would be an outstanding example for the case study method of successful businesses at the Wharton or Harvard Business Schools. But, even there, at least in my day at Wharton, the ethics of marketing that level of BS in an ostensibly technical field would have presented grave problems.

He is perhaps the prototype original cable bandit, and perhaps the most successful of them all. I could be wrong, but wasn't AQ the first of the cable geniuses to market solid silver wires? Wow, what a sonic breakthrough they were, but that is now a regular product concept of theirs, even for HDMI, USB and digital cables.
 

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Very impressive. They even cock capacitors! Maybe I can save a buck o two and use my grill? With barbecue sauce they will sound even better!

I am not surprised as to how big they are. I remember how every salesman at my local Best Buy pushed AQ cables for any audio or video purchases. The BB contract alone must be worth millions in revenue. Didn't one or two Stereophile reviewers quit their reviewing jobs and join AQ in the last year or two?
 

tomelex

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I had no clue they had such a facility, thanks Amir. What a high profit item.
 

tomelex

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Fitzcaraldo215

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Very impressive. They even cock capacitors! Maybe I can save a buck o two and use my grill? With barbecue sauce they will sound even better!

I am not surprised as to how big they are. I remember how every salesman at my local Best Buy pushed AQ cables for any audio or video purchases. The BB contract alone must be worth millions in revenue. Didn't one or two Stereophile reviewers quit their reviewing jobs and join AQ in the last year or two?
Right, they even cook the capacitors, too.
 

CuteStudio

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AQ and MIT etc are in my view a large part of the reason for the decline of HiFi.
They are wealthy and successful, all that money that could have gone to real audio firms with real products, honest R&D and honest, solid products has been diverted into such a clever deception as the cable firm.

Their genius is in the price, people who buy them and review them (whose magazines rely on adverts!) have invested enough money to vociferously defend them: no one wants to admit being a fool and being taken for $20k for a piece of worthless cable that could have been better for $10 so we have an industry where the victims support their attackers and 'serious' fools don't dare being attacked by these gullible victims so they also hear how wonderful they are. The emperor has no clothes but who's willing to be beaten for speaking up?

I first saw the cable scams appear in the 1970s, I think we can trace the death of HiFi as an all encompassing hobby to the two pronged attack of a) Charlatans and b) the record industry with their sad low quality media, mastering and performers. Ask many a non audiophile about hi-end HiFi and they laugh at the cables, bits of mysterious wood, CD lathes and all the attendant garbage that goes along with this bizarre cult. No wonder the run!

So an interesting thread, so sad to see all that money hoovered up out of the way of real progress.
 
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amirm

amirm

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AQ and MIT etc are in my view a large part of the reason for the decline of HiFi.
Interesting point there. I think we all know that the category was established by Monster cable. They addressed a real business need. Retail sales of electronics became cutthroat with razor thin margins if not negative. To deal with that, they embraced monster cable which they sold at full retail with tons of margin. Indeed that, and extended service contracts where and continue to be the main money maker for them.

Same is true of high-end retailers. The retailers love the cables as it provides far more margin than electronics. So they sell it even if they themselves don't believe in it.
 

Sal1950

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AQ and MIT etc are in my view a large part of the reason for the decline of HiFi.
They are wealthy and successful, all that money that could have gone to real audio firms with real products, honest R&D and honest, solid products has been diverted into such a clever deception as the cable firm.
Yes and no, I agree for the most part but the big question is where to you find "real audio firms with real products, honest R&D and honest, solid products"? I think I could count the number of High End manufacturers I'd tag like that on one hand off the top of my head. Say a firm like Benchmark would be there, but then I still question the price of some of their products. Is a retail price of $2200 justified for the DAC3 DAC? I don't know and not saying it isn't, but does seem a bit inflated to me.
 

Bruce Morgen

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Yes and no, I agree for the most part but the big question is where to you find "real audio firms with real products, honest R&D and honest, solid products"? I think I could count the number of High End manufacturers I'd tag like that on one hand off the top of my head. Say a firm like Benchmark would be there, but then I still question the price of some of their products. Is a retail price of $2200 justified for the DAC3 DAC? I don't know and not saying it isn't, but does seem a bit inflated to me.

Even Benchmark, as impressively accomplished they are in terms of pure engineering, does run into the eternal issue of audibility. Every time I consider the technical excellence of SOTA products like the AHB2, the question of whether I'll be able to hear that excellence immediately comes up, along with issue of how good would my speakers have to be to make a $3k investment worthwhile vs. less than half of that for a Hypex- or Purifi-based solution.
 

sq225917

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Should have saved the thread necro for Halloween.

Who invented the audiophile cable market, maybe pierre lune, maybe audio note Japan with their 1976 4n silver ic's. I'd say it really didn't start until companies started making claims that didn't gel with accepted science.
 

Sal1950

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bladerunner6

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Interesting point there. I think we all know that the category was established by Monster cable. They addressed a real business need. Retail sales of electronics became cutthroat with razor thin margins if not negative. To deal with that, they embraced monster cable which they sold at full retail with tons of margin. Indeed that, and extended service contracts where and continue to be the main money maker for them.

Same is true of high-end retailers. The retailers love the cables as it provides far more margin than electronics. So they sell it even if they themselves don't believe in it.
Accessories are very important to dealers. When I got back into photography a few years ago I bought a two lens $600 kit with a camera. As my parents used to have a mom and pop electronics store I commented to him he probably makes about as much money on the $180 tripod as the camera kit. He said yes, it is pretty close.

Now a tripod is not a snake oil cable but I do understand why dealers sell this stuff.
 
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sq225917

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I'd imagine you average dealer selling mid fi makes more on accessories than hifi.
 
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