Final? ARC Chapter...


128x128mofimadness

“It will take more investment, more innovation, and more blood, sweat, and tears to start a more virtuous cycle for the brand.”

Couldn’t agree more with above statement! Outside this, the existing offerings from ARC are mid-fi at best IMHO.

Wow. So the new owner is the stone or marble speaker builder, Acora Acoustics , that I saw in Florida Audio show last year.

Hopefully, they will strengthen and widen the brand after being restricted to only high end products when paired with MacIntosh. It is a shame Trent could not afford to continue. He truly wanted to make the company and products even better than they already are. 

Feel sorry for the employees who may be laid off.

Shame they haven’t done a press release to explain it all.

To me that speaks to liquidation and salvation of whatever’s left.

Strange that all the creditors got paid off don’t understand that. Although certainly good news for them if that’s really true

Arc Website makes no mention of this transaction.

Seems like we are left with a big question mark.  Of course, that is better than what might have transpired.

Here's the press release:

 

Audio Research Corporation was acquired by AR Tube Audio Corporation, a privately-owned Delaware-based corporation which includes Valerio Cora of Acora Acoustics Corporation as a director. Audio Research will operate independently from Acora Acoustics, an Ontario-based high-performance loudspeaker corporation. The acquisition was approved by a judge after an asset purchase agreement was made with Lighthouse Management Group.

Private equity and venture capital investment groups are not involved in the new corporation, it is comprised of passionate audiophiles devoted to great music reproduction.

Audio Research was founded in Minneapolis in 1970, and will remain in its Maple Grove, Minnesota facility where it designs, builds, and supports the hand-made products that have established it as the preeminent manufacturer of vacuum-tube audio electronics. The loyal and long-term staff of employees will remain unchanged, but is expected to grow alongside the company. Audio Research’s network of select dealers and distributors will remain stable and continue to receive the full support of the company, as will the many thousands of loyal Audio Research owners.

This acquisition is set to provide the financial stability required to resume the growth that Audio Research had achieved over the decades. There are exciting new products on the horizon, like the Reference 320M amplifier, which will fuel Audio Research’s growth. The product line remains, and will continue to develop over time in the tradition you have come to expect from Audio Research.

Valerio Cora, with his extensive business experience and ownership of Audio Research components for many years, is the perfect person to be at the helm. "I am thrilled to be joining the fantastic team at Audio Research on their journey towards a very bright future. As someone whose audio journey has been built on the foundation of Audio Research, I am deeply honored to have the opportunity to contribute to such an innovative and forward-thinking brand. I can't wait to work alongside these amazing people and help drive Audio Research's success to even greater heights!"

ARC had some nice stuff. It was caught in the middle of mid fi and hifi but with prices like hifi. Kind of like McIntosh. I think ARC equipment (amps/preamps/phono preamp) are better sounding than say parasound and bryston but not in the same league as say D’Agostino gear, but ARC prices are much more than parasound and Bryston. Just my opinion.

Hopefully ARC thrives and continues to expand its great product line.  In addition,  it would be nice if they could offer a more affordable model line like they used to so people can eventually move up the food chain.  

If anyone is interested in listening to an upgraded suite of ARC Ref CD9 and LS10/D240? PM me if you want to talk. These units are great examples of the classic ARC sound with transparency and musicality at the fore.

Good news. Mr. Cora is a good guy, and yes, I have always seen his products driven by Audio Research (although I read he used VAC gear at Axpona). 

We may see some AR equipments starting to rolling in Jay Audio’s house sometime next year?

I'd say ARC is a really high end Mid Fi. The build quality is outstanding on the older stuff. In the world of hand built gear It's a mass produced product. 

An ARC ex-employee told me the McIntosh days there were awful. Bad morale and boring non-innovation with lots of re-branding.

It was really WZ Johnson's baby and when he got too ill to work the momentum slowed and so did the quality. 

I think the stuff is overpriced when new but the used market has good value. 15K for a ref 750 is a good deal. 3K for a SP-10 is a good deal. 5K for a CD9 is a fair deal. Basically wait 2 years and the stuff can be bought for 1/2 of retail which is honest fair market price equilibrium. 

I agree that some ARC gear sounds better than other ARC gear.  I have used their preamps since the 1980s and their DACs.  I found much better DACs. I think their preamps are some of the best around.  I like the sound of the DAugostino preamp (the really expensive one) better but not enough for the cost difference.  I have found ARC preamps to be very reliable.  Since the 1980s I have had to send just one preamp in for repair.  It turned out to be a broken wire in the umbilical of my SP-15 preamp.  I used a SP-6b for 14 years and the SP-15 for 18 years.  I had a SP-9 for a year or two.  It didn't do much for me.  Currently using the Ref 5SE.  Yes, the 6550C runs very hot and that worries me.  I have good clearance over the top of the preamp to allow plenty of airflow.  I don't run that tube more than 2000 hours.

I hope that ARC is able to recover.  It all depends on how much the new owner is willing to invest and how long the new owner is willing to wait for a return on that investment.  I watched MF's video tour of the factory made last week.  Looks like they have lost some engineering/technical talent.  I also noticed they are struggling to release their new high powered Ref tube amp that was slated to come out about a year ago.  The company will be treading water for a while mostly building current product and service support.  Supply chain is a huge challenge these days and consumes engineering support to work with suppliers and replace discontinued items needed for production.  Provided the new owner invests and ramps up hiring it will still be several years before they are able to release new products.  Will the market be patient enough to wait?

I hope they do not outsource the engineering work.  Perhaps they do already.  It is a trend that has been growing for a few decades now.  I argued to management that the engineers are not a commodity, that they are the product- the heart and soul of the product.  But the engineering work load rises and falls depending on the state of the projects and new business.  Engineers get pushed to work overtime (unpaid mostly) when demand is up but then get laid off as soon as the workload drops.  Management really likes the idea of contracting the work out to low cost countries and having the flexibility to increase/decrease headcount on demand.  Over the long term innovation is lost, the product itself becomes a commodity- ie. no differentiation in the market and sales decline.  Eventually the company or that product line ceases to exist.  I’ve seen it several times now over the years.  The worst part is that the cycle continues.

It always started with sending out drawing/design work.  Drafting and design drawings are time consuming.  Outsourcing was the easy way to relieve the pressure.  The thing is the competitor’s drawings are being worked on by a designer one seat over.  Second, this outsourcing house most likely has never touched or held the product in their hand, let alone see how it is made. 

Mid Fi at best. Nothing is special about the brand. Good for ARC that it found a buyer.

New ARC stuff has seemed a little too expensive to me for years so, meh...I do like the fact that they're around anyway as it's sort of comforting. Fremer had a recent youtube ARC facility tour thing that was interesting, especially the part where the ARC dude says something like, "we have to hire another repair tech as we're 3 months behind." That hints at issues right there...

I took the "click bait" on this. It's not the end, its a new beginning and a continuation of a storied brand - the fact that an enthusiast purchased it is even better. I'm sure good things will come of this and perhaps ARC's new product line will broaden a bit and become more attainable to lure newer audiophiles into the brand rather than counting primarily on selling 15k amps and pre-amps to a limited audience. I wish them all the best as losing the brand would be unthinkable.

Some pretty harsh critics on this thread.  ARC is a storied brand with a long pedigree for an electronics manufacturer.  I much prefer putting my money in a well known brand with a good reputation for service long after the sale.  I myself am reticent to purchase ultra hifi for big bucks from relatively new brands with little to no history.  Seems a risky venture.

Yes, we have seen the demise of some big names in hifi over the past decade or two as owner/founders failed to carry on their legacy.  It is making choices difficult for us hifi enthusiasts compounded by the lack of shops carrying high end audio.  I look at some high end manufacturers' websites and find even the most notable names have merely a handful of stores/dealers across the country.

Who cares. It’s their business to do whatever they choose. What’s with all the comments from the cheap seats? You all sound like a bunch of old ladies gossiping. Be better than that!

My thoughts that ARC needs some systems for the non-wealthy but want quality. Starting at 2k with an integrated. They should be able to do it. They also need excellent customer service or word will get out and be their demise. There are many people who love music that want good sound and it is a competitive market. There is money to be made at all levels.

2K for an integrated from ARC? That's pretty funny! It would be hard to believe it if they came out with one for twice that price.

I’m at the Pacific Audio Fest and am merely passing what I heard. David Solomon of Qobuz streamed songs in the excellent sounding Acora Acoustic room demoed by the David’s close friend and owner of AA.  Per David, his friend (didn’t catch name) is a very serious person which led me to believe that ARC is in the hands of someone who cares. Just my audience impression.

ARC is not Mid-Fi. I think those that say that either have never owed ARC or can’t afford ARC .. same group of dumb AF trolls that say Wilson speakers aren’t HiEnd

Charming, I can afford AR and do not care for their sound also think Wilson is overrated crap compared to QLN. 

Typical internet comments from many who don’t understand business. And mid-fi? Really? More that don’t have a clue. ARC may not be everyone’s flavour but it certainly is not mid-fi…

so happy end? I didn't read all the details.

Both Acora and ARC need a designer to make them not look like they were shaped with an axe

So shallow to value looks over quality of sound.  I heard the Acora speakers at the 2022 Axpona in Tampa.  I almost walked past the giant room with the two diminutive speakers until I heard music coming from them.  They sound spectacular.  

I was using Yamaha gear in the 1980s up until I heard an ARC preamp.  The Yamaha gear was very attractive and sophisticated looking.  I recall at the time thinking about how plain the ARC preamp looked in comparison.  A flat silver face, four knobs, a couple of green lights and some toggles that didn't really compare to the more flashy gear at the time- and some with colorful fluorescent displays.  I grew to appreciate the industrial look and incredible sound.  ARC preamps' beauty is on the inside.

I'd say you can't see the gear in the dark but my system has so much resolution and detail that it creeps me out if I try to listen in total darkness now.  It feels like people are moving around in the room.  

Agree that everyone has different tastes.  ARC is a force and major player in the Hifi industry- of that there is no doubt.  We have lost too many icons in Audio already.  Hate to lose another.

CLEEDS. Thanks for your response.  Was very much appreciated 🙏.  That is great news to hear that AR and the company staff will still be up and running making some of the best sounding equipment on the market. I own the ar sp3-a1.  To my ears the BEST SOUNDING TUBE PREAMP EVER MADE!!!!

I have never owned any ARC gear, But have never thought of it as mid-fi

Always sounded decent to me when I ran across ARC systems.

I have friends who have owned and thought very highly of the brand.

Seems some here like to berate certain brands, Opinions are like butts everyone Has one.

Maybe if you have no bad personal experience to share about a brand, your opinion might be best kept to your self. There are a multitude of reasons why you may or may not  appreciate a product.

Better to say you it's not for you than insult the owners of the product.

When Audio Research belonged to the same group that owned MacIntosh, the strategy was that Mac would have the intro gear and then when a customer wanted to step up they could point them to ARC or higher end MAC gear depending on their interest. The ARC gear being audiophile stuff.. catering to high definition and musicality and Mac with the muscle machines. This way they could capture either direction.

I am sure Trent would have revamped the product lines. He had a great vision for the company. By the way, if you haven’t heard the $6K integrated it might be worth your while. The sonic performance is amazing. I compared a $10K Luxman and Pass with it recently… and while you could make a great case for the Pass, my eyes would close and I would just fall into the music with the ARC I-50.

 

As far as Audio Research being audiophile gear. It is the penultimate audiophile gear in my experience. It is dedicated to recreate the real thing… the rhythm and pace… the detail of real live music… not the current fad of hyper detail, slap you down bass, or what ever the current fad is.

Forty years ago I would wonder through the audio research dealer showroom (after driving two hours to visit the audio store) and see these old guys that could afford to buy Audio Research gear. I was so jealous. The listening sessions I had there were so different and compelling compared to others. For at least a decade a used bottom of the line ARC preamp it stopped me from constantly trading preamps. Each previous preamp I would like for a couple weeks until I found some flaw in its sound (grain, or sheen), which I could not unhear after hearing.

I have listened a lot to Rowland, Boulder, Pass (I have owned Pass for over thirty years), Mark Levinson, MacIntosh, and others, the only company that has remained dedicated to wholistic, realistic, and complete reproduction of music is Audio Research (also… Conrad Johnson and VAC is really good). Others excel at some aspect… or several aspects… but seldom get the whole thing right. So, at least for me, Audio Research is the apex of audiophile equipment. While along the way I could no own all ARC equipment, my research and experience lead me slowly one piece at a time to an all ARC system.

I really for this transition does not destroy this great company.