Amp design logic

Many factors presumably contribute to that $50K sales price, many of them having been mentioned in the posts above. As someone experienced in electronic design (not for audio), one factor I would particularly emphasize is amortization of design and development costs.

Designing a sophisticated high performance electronic product involves many months, perhaps even years, of effort, involving multiple technical disciplines. For starters: Electrical design, including analog, digital, and power supply design, which are essentially different disciplines; mechanical design; thermal design; and in many audio products these days also software or firmware design. Significant payments to subcontractors and suppliers are also involved, not just for parts and materials but also for work by the subcontractors to design and develop custom integrated circuits that may be required, and to perform the non-recurring efforts that are required to prepare for production of major subassemblies such as the chassis, transformers, etc. Specialized test equipment and laboratory facilities will also be needed to support the design and development process.

All of those costs, and many others that have been mentioned, will have to be amortized across a total lifetime production quantity that is perhaps measured in dozens. Frankly, considering that and considering the limited market for high end equipment and the vast number of products that are available to choose from in any given category, what surprises me is not the amps that sell for $50K, but the ones that manage to sell for only $4K.

Now if you were asking about cables, that would be a different story IMO :-)

Regards,
-- Al

Al, you're right of course, but you have to admit that my animal joke fits to expensive cable trade.

Kijanki, I not only admit it but I second it :-)

Great line! Best regards,
-- Al

What's the difference between a $2.4 million Bugatti Veyron and a $12,000 Chevrolet Aveo? They both get you from point A to point B.

I guess it's just a good thing that you are not asking about the REALLY expensive amplifiers. Sheesh....

A friend makes tube preamps by hand; when I bought one in the late 80s the price was around $1000. He investigated producing them commercially but found that setting up an actual production line would result in them having to retail at $3000 to $4000. One at a time he could hand built them in his basement and check everything himself; but having a factory, reps, dealers , advertising etc would require a much higher price. And this was for a produce that had already been developed; no research and development costs. Granted that some seem overpriced; quality seldom comes cheap for any type of product.