THIEL Aquired By Private Equity Firm

[monkish54]

In all the years I've been around audio, this is perhaps the only speaker maker that I have yet to hear any of their products.

I haven't heard a single Thiel product. I like that they use coaxials...however, they use first order crossovers...and that's silly.

 

[AudioWorld]

All Change at Theil

The audio business has reverted back to the industry it was when David Haffler built amplifiers and Edgar Villchur invented the acoustic suspension loudspeaker. These brands changed once their visionaries departed and the same will be true of Theil. Kathy Gornik (Mrs Theil) has a wonderful Christmas present from the sale unless of course the equity company has her tied to pay out on their profits over time.

This publication would not be what it is without Gene DellSala and so goes the industry, companies need leaders and product creationists if they are to succeed. An immediate issue for the new investors in Theil, will be who is going to sell their product or where are they going to sell enough to make back their money and earn a profit?

I’ve written and read enough business plans to know that growth is always the first thing quoted but where can you grow? The core American audio dealer network is shrinking and Theil doesn’t have the clout to edge aside Monitor Audio, B&W and Revel in stores that are left. Consumers are buying Emotiva on line from Dan Loughman, a product that is carefully crafted in China to be “good enough” and almost never at risk of being in a comparison audition. Maybe Dan Loughman is behind the Theil buyout or simply just a group of Chinese with lots of money?

New speaker growth is now in Apple stores and dare I say Best Buy and so this means a tilt towards Asian production in order to get down to an acceptable selling price. It’s simply not possible to build an Airplay type speaker in USA competitively. However good the model Theil envisages for this market segment they will have a hard time getting shelf space in the popular outlets and maybe worse there is minimal profit but good dollars if you can sell 100,000 units.

There is no quick fix for Theil, they will probably keep their US wood shop for their core high-end boxes and supplement this with cabinets or systems built in a reputable Asian factory where someone like Revel & Monitor Audio produce. Unfortunately the Made-In-Asia label is very unattractive to the Asian customer however B&W seems to have got away with it so far because they use all UK technology.

The group taking over at Theil should look to history and see that it’s getting harder to make money from the audio business. Ripplewood (that was Mitts company) maybe or may not be making money now with Denon, Marantz, Boston Acoustics and McIntosh but it’s not been a cakewalk. And McIntosh is for sale if there are any offers, Boston Acoustics is a shadow of when Andy and Frank Reed owned the speaker market and I can go on.

Theil equity investors can take a long view they need a replacement visionary for Jim Theil and inch their way back into the remaining high-end audio accounts that survive to establish credibility so they can sell more in Asia. They can invest in new categories of speakers for the Apple Galaxy market but not waste a dime on 2 way 6” and 8” with a floor standing option. KEF brand has been through the wringer but at last with the “Blade” and the new “LS50” they are finding their stride.

It’s a new world today and for Theil brand to survive it’s going to take some very creative thinking, it’s definitely not business as it was and the Theil company must change to survive.

 

[monkish54]

This publication would not be what it is without Gene DellSala

I agree with everything you said, except this.

I trust, perhaps foolishly, Gene has surrounded himself with good people who want Audioholics to be exactly what he wants it to be--exactly what it is.

JA took over Stereophile and slowly the # of recommend products skyrocketed. You ever notice for every bad thing SP says about a product they say 29,000 good things? They pretend like it's not obvious...it is. Stereophile is clearly about making money. It very easy to see that. I don't feel that way about Audioholics at all. I feel like if Audioholics makes enough money to pay ample salary (I hope they all take home ridiculous amounts of money), Gene is happy. Audioholics wasn't formed for profit, but for the pursuit of knowledge. I am confident (and I hope) that if Gene were to step-down as President and Clint were to take his position, the publication would stay on the right path. Clint isn't JA.


If Clint ever says something like this, I'll buy and eat 12 copies of Stereophile!

Summing up the Linn Majik 140's measured performance is difficult. On the one hand, there are some definite problems: that lively cabinet, the sub-optimal drive-unit integration on axis. On the other hand, the problems seemed to step out of the way of the music much of the time. Some listeners will love this speaker for what it does right; others will not be so impressed because of what it does wrong. Bob Reina is definitely in the former camp.—John Atkinson

 

[unemployed]

Due to proximity, wonder if Jade Designs (Emotiva) might be an interested party.

 

[Calvin Hobbes]

The audio business has reverted back to the industry it was when David Haffler built amplifiers and Edgar Villchur invented the acoustic suspension loudspeaker. These brands changed once their visionaries departed and the same will be true of Theil. Kathy Gornik (Mrs Theil) has a wonderful Christmas present from the sale unless of course the equity company has her tied to pay out on their profits over time.

This publication would not be what it is without Gene DellSala and so goes the industry, companies need leaders and product creationists if they are to succeed. An immediate issue for the new investors in Theil, will be who is going to sell their product or where are they going to sell enough to make back their money and earn a profit?

I’ve written and read enough business plans to know that growth is always the first thing quoted but where can you grow? The core American audio dealer network is shrinking and Theil doesn’t have the clout to edge aside Monitor Audio, B&W and Revel in stores that are left. Consumers are buying Emotiva on line from Dan Loughman, a product that is carefully crafted in China to be “good enough” and almost never at risk of being in a comparison audition. Maybe Dan Loughman is behind the Theil buyout or simply just a group of Chinese with lots of money?

New speaker growth is now in Apple stores and dare I say Best Buy and so this means a tilt towards Asian production in order to get down to an acceptable selling price. It’s simply not possible to build an Airplay type speaker in USA competitively. However good the model Theil envisages for this market segment they will have a hard time getting shelf space in the popular outlets and maybe worse there is minimal profit but good dollars if you can sell 100,000 units.

There is no quick fix for Theil, they will probably keep their US wood shop for their core high-end boxes and supplement this with cabinets or systems built in a reputable Asian factory where someone like Revel & Monitor Audio produce. Unfortunately the Made-In-Asia label is very unattractive to the Asian customer however B&W seems to have got away with it so far because they use all UK technology.

The group taking over at Theil should look to history and see that it’s getting harder to make money from the audio business. Ripplewood (that was Mitts company) maybe or may not be making money now with Denon, Marantz, Boston Acoustics and McIntosh but it’s not been a cakewalk. And McIntosh is for sale if there are any offers, Boston Acoustics is a shadow of when Andy and Frank Reed owned the speaker market and I can go on.

Theil equity investors can take a long view they need a replacement visionary for Jim Theil and inch their way back into the remaining high-end audio accounts that survive to establish credibility so they can sell more in Asia. They can invest in new categories of speakers for the Apple Galaxy market but not waste a dime on 2 way 6” and 8” with a floor standing option. KEF brand has been through the wringer but at last with the “Blade” and the new “LS50” they are finding their stride.

It’s a new world today and for Theil brand to survive it’s going to take some very creative thinking, it’s definitely not business as it was and the Theil company must change to survive.

Back in the day it was Japan bashing. Then it was Taiwan bashing. For the past ten years it has been China bashing. When will it end!

America is not the greatest country in the world. One hundred eighty nations have freedom in this world. America ranks 7th in literacy, 27th in math, and 178 in infant mortality.

We rank number one in incarcerated citizens per capita. Defense spending we are number one and total spending surpasses the next 27 nations combined. Religious beliefs I will leave alone...

 

[Calvin Hobbes]

I agree with everything you said, except this.

I trust, perhaps foolishly, Gene has surrounded himself with good people who want Audioholics to be exactly what he wants it to be--exactly what it is.

JA took over Stereophile and slowly the # of recommend products skyrocketed. You ever notice for every bad thing SP says about a product they say 29,000 good things? They pretend like it's not obvious...it is. Stereophile is clearly about making money. It very easy to see that. I don't feel that way about Audioholics at all. I feel like if Audioholics makes enough money to pay ample salary (I hope they all take home ridiculous amounts of money), Gene is happy. Audioholics wasn't formed for profit, but for the pursuit of knowledge. I am confident (and I hope) that if Gene were to step-down as President and Clint were to take his position, the publication would stay on the right path. Clint isn't JA.


If Clint ever says something like this, I'll buy and eat 12 copies of Stereophile!

Audioholics is not a charity organization.

Audioholics does seem to aspire to a higher ethical standard than most. But it has a business plan that strives to provide for its netizens, while toeing the line in avoiding apparent conflict of interest.

I appreciate this website and do find it has something to give to the audio world. Sometimes I think some things are oversimplified in explanations. While at the same time knowing that what information is given does not completely answer said discussion.

Things are not as simple as it seems, but everyone wants a one sentence answer that solves all audio problems.

 

[monkish54]

America is not the greatest country in the world. One hundred eighty nations have freedom in this world. America ranks 7th in literacy, 27th in math, and 178 in infant mortality.

We rank number one in incarcerated citizens per capita. Defense spending we are number one and total spending surpasses the next 27 nations combined. Religious beliefs I will leave alone...

THANK YOU!

Religious beliefs I will leave alone

Do not start ranting...Do not start ranting...Do not start ranting...Do not start ranting...Do not start ranting...Do not start ranting...Do not start ranting...

 

[monkish54]

Audioholics is not a charity organization.

No, of course not.

I'm sure they make profit. I just mean it didn't start as a business, and I don't think now that it is a business Audioholics lost its integrity.