Amp design logic


I hope you'll excuse my absolute and obvious ignorance...but this is a sincere question.

I don't get why one company is selling a new tube amp for ~$1000, and another is selling one for ~$50,000. What is one paying for? The proprietary circuit design?

Surely if one adds up the cost of the parts, trannies, chassis, etc. it's not worth $50K.

I accept that the more expensive one sounds lots, lots better. But what makes the price so high? Demand?

I think given a circuit diagram from a repair manual, I could eventually build most tube amps from scratch, using the absolute best of each part available. After I learn to solder. For less than $50K, just buying the best cap, resistor, wire, etc. made, for each part, I could slowly build an amp equal to the best in the world. So I don't get it.

What makes an amp worth $50K? It can only be the proprietary tube amp design.

Maybe another factor is the transformers. Each company seems to have their own iron, but that can't be a significant part of $50K?

Thanks, just really wondering about this. And wondering why don't I just make my own? If I buy one part at a time, eventually I can have the best amp there can be.

Jim
river251
River251, perhaps you might want to consider cutting your teeth on projects like these:
http://www.diyaudio.com/forums/pass-labs/
River251, With all due respect, based upon another recent thread you started, I think, at least for the present time, you might be in way over your head. Just think of the appropriate test equipment you'll need. It's not as simple as plug and play. You might want to begin with a simple starters kit, before attempting to supplant $50K amplifiers, regardless of their markup.
As Minor1 has stated, there are many who have failed in this business. Many times that is due to cutting their margins too thin, or under-estimating their "true" costs. Trying to make something that is "too good of a deal" is a good way to go out of business. Great posts by Al and Byron too.

A manufacturer has to realize when a certain item is "too good" of a value and is dragging him down. I know of a manufacturer who is still in business, who stopped manufacturing a $6500 integrated amp because "he couldn't make any money on it". Knowing when to show 'em and knowing when to fold 'em is critical for staying alive in this, or any other business.

Cheers,
John
Mechans, there is a difference between a modification and a straight parts swap as the OP is suggesting. Taking a $1000 amp and just putting premium parts in it. I have heard several modifications, mostly to digital gear, but also with amps. Some make a big improvement, some, not so much so. However, a modification implys a circuit (re)design, not simply a parts swap.
Well. My question about amp design turned into a huge lesson about the hifi business, and I wish I'd posed the question a little differently. I'm certainly in over my head in several ways. There is clearly some heavyweight experience and wisdom in these forums. Thank you for sharing your thoughts.

All I can say is, when I turn out the lights, kick back with my favorite cabernet, and just let the vacuum tube warmth of Diana Krall's impossible voice diminish my daily cares, I'm glad there are people who dedicate themselves to bringing this gear to the world.

Jim