Bose Just Acquired Two Legendary Hi-Fi Brands. Here’s Why It Matters

The biggest name in consumer audio just bought two of the biggest names in luxury hi-fi.

Published November 19, 2024

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In a shock move, Bose just announced a deal to acquire the McIntosh Group, the parent company of both McIntosh and Sonus Faber.

That’s right, the biggest name in consumer audio, best known for its noise-canceling headphones and wireless speakers, now owns not one but two of the most storied names in luxury hi-fi.

In its press release, Bose announced that this move will significantly expand its portfolio as the McIntosh Group manufactures “the world’s finest amplifiers, speakers, turntables and other audio products.”

So, what does it all mean?

The short-term impact

Not much is expected to change in the immediate for any of the involved audio companies.

McIntosh will continue manufacturing its premium hi-fi components — everything from amplifiers to music streamers, wireless speakers to turntables — and operate out of its Binghamton, New York, headquarters.

The same is true with Sonus Faber, who will continue to make its extremely high-end loudspeakers — such as the $750,000 Suprema loudspeakers — in Italy.

McIntosh turntable — McIntosh, the NY-based audio maker, is well-known for black and green (and sometimes glowing blue) premium hi-fi components.

As for Bose, the most immediate impact of the acquisition will seemingly impact its automotive sector. At least, that’s what the press release focuses the most on.

Bose makes sound systems for wide variety of cars, including models by Chevrolet, Nissan, Honda, Mazda and Porsche. In fact, according to a CNBC interview with Bose’s CEO Lila Snyder, in-car sound systems make up about a third of Bose’s overall business.

“In-car sound systems make up about a third of Bose’s overall business.”

Bringing in the McIntosh Group will help Bose expand its automotive sector, as Sonus Faber makes sound systems for luxury audio brands, including Lamborghini and Maserati. And McIntosh makes the entertainment systems in Jeep’s most recent Wagoneers and Grand Cherokees.

The press release reads, “By leveraging Bose’s 40-plus years of experience in automotive audio, and McIntosh Group’s legacy of performance and design, the brands will work together to expand their research and continue to engineer authentic in-car experiences that redefine automotive sound.”

Sonus Faber loudspeakers — Sonus Faber makes some of the world’s most expensive loudspeakers. Its flagship Suprema loudspeakers cost up to $750,000.

The bigger impact

Looking at the bigger picture, the acquisition shows, at the very least, Bose’s ambition: it wants to cover all the bases, from consumer audio to luxury hi-fi, and become the definitive American audio company.

The move also comes at an interesting time for Bose as it faces more competition than ever in the consumer audio space. The likes of Apple, Sony and Sonos are all big players in the markets for noise-canceling headphones, multi-room speakers and (aside from Apple) home theater systems.

However, none of those competitors have been able to break into traditional hi-fi — a category exploding at the moment thanks to resurgence of vinyl and other physical media.

That’s why acquisition makes so much sense for Bose.

Focal Bathys headphones — More high-end audio brands, like Focal (*pictured*), are getting into the noise-canceling headphones. Could McIntosh be next?

Also, the acquisition comes at a time when one of Bose’s biggest rivals in the multi-room wireless speaker space, Sonos, has been struggling with a highly publicized app debacle and falling revenue. So this definitely feels like a power move for Bose.

As far as what products could come out of it, that’s anybody’s guess. It definitely opens the door for Bose to enter the more premium audio space. Or for McIntosh to enter more consumer markets, such as headphones and Bluetooth speakers.

In recent years, premium audio brands — such as Bowers & Wilkins, Bang & Olufsen, Dali, Focal and Mark Levinson — have all proven that people are willing to spend far more than $400 on a high-end pair of noise-canceling headphones.

Who’s to say that McIntosh couldn’t get back into the headphone game and release its own gorgeous pair with its signature illuminated green logo?

Bose 901 loudspeaker x Kith — Bose recently revealed a collaboration with Kith to revive its iconic 901 loudspeakers. Only 12 were made.

And maybe it could collaborate with Sonus Faber to get back into passive loudspeakers.

If Bose’s recent collaboration with Kith to revive its iconic 901 speakers proved anything, it’s that there’s still a desire from consumers for Bose loudspeakers.

The press release reads, “Together the brands will imagine what’s possible in the future of audio — delivering new products, bespoke offerings and unparalleled listening experiences for music lovers around the globe.”

Only time will tell what really happens. But the acquisition feels like a big moment for the future of both consumer audio and hi-fi, and the world is ready to listen.