tomthiel,
I agree with you that the audio world has changed. Most consumers today seek out convenient access to music through playback systems that don't come very close to the traditional concept of high-end audio. Some audio startups still pop up these days, usually to push a specific product, but today's business climate is rough for companies that resemble the original version of Thiel Audio.
One model that may help some form of high-end audio stay alive could be described as "strategic infiltration." Some of the more passionate and dedicated audiophiles who become hooked on this obsession as teens may be able to find work and income from jobs that have some link to the music creation business or the music reproduction business. They don't necessarily have to start their own company to still enjoy a creative life in music and/or electronics.
I don't know if you've ever listened to "The HiFi Podcast with Darren and Duncan," but it's a great example of two young guys who are passionate audiophiles and get together frequently (usually weekly) to discuss audio gear and music for an hour or so. The podcast is currently on hiatus, but the typical podcast includes introducing themselves, describing their own audio activities, answering listener questions, discussing a selected topic in depth, and then finishing with an album recommendation. The podcasts can get a little long at times, but listeners can skim through to find topics that interest them.
Darren Myers is the senior analog engineer for PS Audio and has been the main designer of award-winning products such as the PSA Stellar Phono Preamp and the Stellar M1200 hybrid mono amp. He worked for B&W and Classe before moving to Colorado and joining PS Audio.
Darren's buddy Duncan Taylor is a musician, recording engineer, cable designer, audio writer, and DIYer. He currently works for The Music Room as a testing technician, which gives him access to thousands of pre-owned products that come to TMR for re-sale. (Other than owning some PS audio gear, I have no direct relationship with either Darren or Duncan.)
I think that a podcast from June (Episode 89: Duncan's Next Half-Day Speaker Project) may be of interest to some of the Thiel fans on this website. Starting at about the 1-hour mark in the podcast, there's a detailed discussion of Duncan's creation of a small desktop speaker that uses only simple first-order crossovers - and sounds great. Darren has challenged Duncan to create an even better sounding speaker using tweeters he has pulled out of some large Dunlavy speakers. There's no follow-up info on whether Duncan has actually built the new speakers yet, but the discussion is still fascinating.
I'm hoping that other young audiophiles, like Darren and Duncan, can find "day jobs" in the audio business that allow them to develop and apply their knowledge and creativity to help build new generations of audio gear that can draw in more high-end audio converts in the future.