ARC appears to be in trouble ........

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CurtisIIX

Re: ARC appears to be in trouble ........
« Reply #20 on: 9 May 2023, 02:35 am »
Add to that a workforce that has become unwilling to work (or do not know haw to work) and the rising costs due to inflation, have caused many employees to migrate to greener pastures.

As you probably know, the Twin Cities has strong collection Fortune 500 companies in a diverse marketplace (e.g. Ag, Retail, Banking, Insurance, Food, etc). I guarantee our workforce isn't unwilling to work (or do not know how to work). Such silly generalities suggesting otherwise borders on political talking points.

As much as I would like an audio company in the area to succeed - if ARC can't retain workers and bring innovative (and in demand) products into the marketplace, that failure is on the management of the company, not the workers.

As others have pointed out, supply chain of tubes may have been a problem. Also, the increase in market value for audio products during the pandemic may not have been felt in their market segment (PP tube amps), and as you aptly put, the company couldn't navigate around the iceberg to better waters.

I have purchased some expensive and inexpensive audio equipment made in the US and OECD countries (i.e. economies experiencing high inflation with similar demographics and high wages) over the past year. All the products provided value, quality and innovation. I expect that the audio market is resilient enough to continue to innovate, and I hope that includes tube products with or without ARC.

 

Early B.

Re: ARC appears to be in trouble ........
« Reply #21 on: 9 May 2023, 12:49 pm »
The AR amps always were expensive for what they offer, no Hard-Wiring only PCBs, needs highly matched tubes sold only by AR at premium prices, only PP no SE amps, but AR was selling well in the US for many years due to the patriotism of its fellow audiophiles.

FRM said it in a nice way, but allow me to restate it clearly -- ARC makes mediocre products and charges a fortune for them. I fell out of favor with ARC 25 years ago when one of my audiophile friends popped the hood of an ARC tube preamp and we were unimpressed with the build quality. He sold it a few days later and replaced it with an inexpensive, Chinese brand preamp that sounded much better.

This video says it all: https://www.youtube.com/watch?v=PR-ry-DFdeo&t=1007s
   

 

JakeJ

Re: ARC appears to be in trouble ........
« Reply #22 on: 9 May 2023, 02:58 pm »
FRM said it in a nice way, but allow me to restate it clearly -- ARC makes mediocre products and charges a fortune for them. I fell out of favor with ARC 25 years ago when one of my audiophile friends popped the hood of an ARC tube preamp and we were unimpressed with the build quality. He sold it a few days later and replaced it with an inexpensive, Chinese brand preamp that sounded much better.

This video says it all: https://www.youtube.com/watch?v=PR-ry-DFdeo&t=1007s
   

 

That guy is an idiot.

richidoo

Re: ARC appears to be in trouble ........
« Reply #23 on: 9 May 2023, 05:31 pm »
One of the 3 best hifi listening experiences I ever had was AR CD7+Ref3+Ref210+Transparent cables+Wilson WP7 at my local dealer in Raleigh, back in late 2005. My salesman that day was a very young Brandon Lauer, who is now AR's Director of Sales and Marketing. He spoke fondly of Wilson and AR management, their quality, musicality and synergy - because they were each used in each other's testing systems for voicing their own products. He had already spent significant time with big wigs at both companies back then and seemed determined to work for them in the future. He was a classical cellist, iirc. He quit the dealer within a year of our encounter to move to Europe to pursue his music career. He was by far the most capable audio salesperson I have ever met, and a great brand ambassador for AR and Wilson.
I can't think of a more capable or devoted person to steer AR through these changes. I hope his vision and advice for the company's future is well-heeded by the decision makers.

A friend long-term-loaned me his Ref2 preamp and VT100 mk3 amp, which I retubed and enjoyed immensely for several years. There is nothing cheap or lower quality about AR products.

I think they got caught in the center lane between two 18 wheelers crunching them. One was the death of music, the other was the death of the dollar. If they can make it through the storm I think the value of art and the value of currency will heal and AR will thrive again. But that's probably still a few years in the future.

daveaux419

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Re: ARC appears to be in trouble ........
« Reply #24 on: 9 May 2023, 06:42 pm »
We will know a lot more after May 17th, hopefully the direction of the company will be one that keeps ARC in business and not pushed to Chapter 7. Would hate to see a brand die on the vine like this. With their debt load its going to be a very slippery slope. All the best to the folks at ARC.

FullRangeMan

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Re: ARC appears to be in trouble ........
« Reply #25 on: 10 May 2023, 03:27 am »
Krell, Mark Levinson and Prima Luna moved to China to lower labor costs and still made nice amps, mainly Prima Luna/Mystere with Hard Wiring point to point.

rbbert

Re: ARC appears to be in trouble ........
« Reply #26 on: 10 May 2023, 02:35 pm »
It has been mentioned on other forums (by posters who actually visited and spoke with ARC principals) that ARC at this time lacks a coherent business plan and direction for product planning.  Perhaps it should look to past successes and reputation in order to formulate a plan for the future (e.g., not push hard into digital but rather try to resurrect and update the classic ARC "tube" sound using readily available tube types, perhaps also a SS line with more of a "tubey" sound)

SteveFord

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Re: ARC appears to be in trouble ........
« Reply #27 on: 10 May 2023, 10:32 pm »
I always like thinking about new gear and have heard about some great deals currently available on ARC products.
Used ARC Ref 6SE preamp, new, $19995, used $12,500.
Their least expensive preamp is $10,000.

Their pricing really excludes a large portion of a niche market.

If they get it going again perhaps the new ownership will reassess things.

JakeJ

Re: ARC appears to be in trouble ........
« Reply #28 on: 11 May 2023, 02:24 am »
I always like thinking about new gear and have heard about some great deals currently available on ARC products.
Used ARC Ref 6SE preamp, new, $19995, used $12,500.
Their least expensive preamp is $10,000.

Their pricing really excludes a large portion of a niche market.

If they get it going again perhaps the new ownership will reassess things.

I'm in the same boat.  Have always lusted for an ARC SP-10, SP-11, or SP-15 but, alas, way above my pay grade back in the day.  It would be nice to see the new helmsmen or women fill that lower tier of the market with say a line stage that comes in at $3K and has no more than 4 tubes and a full-function preamp (with phono) at around the $5K tier sporting 4 tubes in the line side and a pair of tubes for MM phono gain with a jfet MC stage.  A nice option for this pre would be maybe the ability to choose between transformer or jfet input on the MC which could be two sub tier pricies, say $4.5K with jfet or $5.5K for transformer.  What do you folks think, is that a fair price point?  Lower?  Higher?

Fast forward to today and I have been able to acquire an ARC LS-25 II which uses the 6H30 tubes and a PH-3 SE and I like them very much so I do hope ARC survives and can keep the service department going as the last I heard was backed up six months so lots of ARC gear needs attention and I imagine most owners would prefer to get factory quality service (and documentation) as opposed to just telling prospective buyer that I had my buddy Sammy Solderslinger check/fix it.  I certainly would want that peace of mind.

FullRangeMan

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Re: ARC appears to be in trouble ........
« Reply #29 on: 11 May 2023, 05:16 am »
coherent business plan
From what I can see AR plan always was based on the Made in USA motto to hook domestic sales where its hi prices are accepted and with the friendly reviews from US audio press it sold well for many years, apparently this plan is not working anymore due the hi sales price to fit in the AR profit margin.

direction for product planning.
Since I started buying Audio and Stereo Review in the 1980s AR products follow the same formula:
Large Push-Pull PCB amps with 6550/KT88, now updated with KT120/150.

AR cant expect monsters 200W or 500W tube amps market to be large, I suppose these amps are made to order. In this big amps range they have competition from Manley, VTL, BAT etc all PCB amps.

Manley even offer worldwide outlet Tension at no extra cost in many amps, but yet full PCB amps.
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SteveFord

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Re: ARC appears to be in trouble ........
« Reply #30 on: 11 May 2023, 10:31 am »
Just a quick look around shows the get your foot in the door prices (I'm unsure about the BAT being their least expensive).
I wouldn't expect these all to perform the same, obviously, but it certainly shows different business models.

AVA Transcendence 10B $1199
Odyssey Candela $1600
VTL 2.5i $3000
Manley Jumbo Shrimp $5000
conrad-johnson ET6 $5250
Balanced Audio Technology VK33S $10,000

Conragulatins on that LS-25II, that is a really good sounding preamp.

FullRangeMan

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Re: ARC appears to be in trouble ........
« Reply #31 on: 11 May 2023, 10:42 am »
AVA is losing money with this low price $1199 ?
The Vision RB are even lowest price $999.


SlushPuppy

Re: ARC appears to be in trouble ........
« Reply #32 on: 11 May 2023, 11:38 am »
News on the new owners is coming in a few hours:

Link

dB Cooper

Re: ARC appears to be in trouble ........
« Reply #33 on: 11 May 2023, 08:18 pm »
AVA is losing money with this low price $1199 ?
I seriously doubt it. After over 40 years at this, Frank knows how to operate a business.
Quote
The Vision RB are even lowest price $999.
The Vision is SS

SteveFord

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Freo-1

Re: ARC appears to be in trouble ........
« Reply #35 on: 18 May 2023, 04:04 pm »
I think all manufactures of tube gear are in trouble.  The tube supply is dodgy at best, and don't see it getting better.

SlushPuppy

Re: ARC appears to be in trouble ........
« Reply #36 on: 18 May 2023, 04:12 pm »
New ownership, maybe.

https://trackingangle.com/features/valerio-cora-of-acora-acoustics-corporation-to-lead-new-corporation-for-audio-research-brand

Tracking Angle was late to update that story! On April 30th they said they would provide an update in a few hours! Cool! Valerio Cora is a good guy  :thumb:

FullRangeMan

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Re: ARC appears to be in trouble ........
« Reply #37 on: 18 May 2023, 04:15 pm »
Many kinds of audio parts are shortage as some transistors etc but press dont mention it, but when its tubes they blow the horn to create panic among tube users.

2bigears

Re: ARC appears to be in trouble ........
« Reply #38 on: 18 May 2023, 05:29 pm »
 :D it's all breaking down. 200 year carbon party is over. By 2050 life on this blue ball will be rare. Small creatures maybe.  :D

JakeJ

Re: ARC appears to be in trouble ........
« Reply #39 on: 18 May 2023, 05:34 pm »
FRM-

Can you provides links to your sources for this "panic attack" conspiracy?  I can find no news articles referring to the tube supply.  Yes they were harder to get during the pandemic but that's because shipping was halted at the height of that panic.  Also Shuguang shutdown the old factory and moved to new modern digs to produce even better quality tubes during that time even though they had ramped up production to cover the change over again shipping nightmares contributed to at least 80% of the problem.  Well, for a couple of weeks anyway.

Google search resulted in over a dozen references to the tube shortage but only from the musician's view.  This article from 2022 in Stereophile sheds light on a more positive outlook.

One can only hope as I cannot give up tubes for good.  Not yet.  Hell, I just picked up a Joule Electra LA-100 MkIII line stage and matching OPS-1 phono stage!  Now I gotta get some back up tubes for it, LOL.