Bose buys McIntosh


End of an era?

telemarcer

While there will be some consolidation (usually marketing, finance, legal, HR, I doubt they will risk losing made in USA and Italy manufacturing given current situation between US and China) I wouldn’t see this as an asset striping exercise either, otherwise the VCs would have followed that route earlier. I do see Bose however using this to establish a presence in the higher end and use its resources to see what further market share it can achieve with these brands. Given the investments Bose are making it would be sensible to build upon rather than devalue their high perceived value. So swings and roundabouts, and no doubt it will be interesting to see the developments that happen over the next 5 years and the new realities emerge. 

Post removed 

People expressing all the optimism are kiddong themselves. These kind of deals where a large company with an inferior product buys a company(or in this case two companies) that in comparison make something league's above them is never a good thing for consumers. I've owned Macintosh pre and power amps and tho I sold them as I felt there was more out there for me I still respect their brand and their unique sound, and now likely will never be the same. And how ironic I've had my eye on a pair of SF speakers. This gives me some urgency to purchase before they are no longer available and risk the new models being an inferior product. I'm not optimistic at all but that's probably because I live in the real world. I know that's just my opinion but I feel strong about it on this one.

This is hardly bad news. A storied up-market home audio brand, made still in the USA, is bought from its PE owners by a well-known U.S. broad market audio company already well-established in the personal audio space, professional coms, in home audio and in automotive integrations, with a track record of innovative product offerings (noise-cancelling headphones, worn both in coach and in the cockpit.) It costs money to exist in the space McIntosh enjoys, and there are only so many ways to reach new buyers. Samsung has been buying many brands also. Some storied brands have been cut up, Sennheiser among them. Would that have been better? The blindered views of some around here who can't see the positives in things like excellent class-D products that reach new customers and address power and energy consumption issues in ways older technologies never will are more of an impediment to the hobby than Bose ever will be.

It's too soon to tell. One thing is certain: cutting costs is on the top of the list. It always is in these modern roll ups. If cutting costs becomes "cheapen the product" Mac is doomed to Marantz's fate. 

Alternatively; If there are economic efficiencies to be had- ie: sharing buying power, advertising discounts, etc. it would be good for Mc assuming it keeps it's corporate culture. 

I'm hopeful that Bose puts a slug of cash into Mc and Mc improves their product offerings and ups their quality. 

Sometimes a bespoke brand is a status acquisition and not a profit play ie: Acora buying Audio Research.