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Why do decent audio cables cost so much?

rontoolsie

pfm Member
As far as I can tell the cost of audiocables are based on several parameters:

Production cost-which may include expensive parts such as OCC copper, pure silver or an exotic mixture of silver, gold and palladium. The dielectric and stipulated geometry may also be spendy...foamed Teflon costs more than PVC.

R&D costs- some companies like Siltech employ full time PhDs in metallurgy to advance their research. This is not cheap.

Distribution Costs- Most wires (apart from the plethora on AliExpress) are not sold factory direct, so go through a distributor /dealer network. This can increase the final retail price by 2-4x. Or more.

Advertising- full page ads in high circulation magazines are unofficially needed to get a review in certain high-circulation journals; and without a glowing review, most punters will look elsewhere.

Perceived cost/performance ratio: While some people set an upper price limit on what they are willing to spend, others set a lower price limit on what they are willing to consider...so someone with $250k Wilson speakers will not even glance at some $400 speaker cables; so they will start their hunt for speaker cables in the $10k+ bracket.

Pride of Ownership: There is a warm fuzzy feeling people get when they KNOW that their wires cost ultra-premium prices.

Profit: All businesses are in business to make money. The dealer markup on cables tends to be higher than those on amps/speakers.

The most expensive industrial cable is that transoceanic submarine cable.
SubCable.jpg

Submarine cable image
This is very expensive...how expensive is very expensive???? Oh, around $50 per (mono) meter. But you can see where your money is going. The copper alone in this would be tens of $ per meter.

EDIT the $50/m is the cost of fiber optic cable....the cable pictured above is power cable and costs $2500/m

In contrast, the much less impressive looking Transparent Magnum Opus speaker wire is around $13,000 per mono meter.

This is more than 250x as expensive as the submarine cable above. And I am virtually certain that it costs a fraction to produce.

If somebody produced a cable that sounded as good as the Transparent for $5/m, would anybody actually buy it, or would preconceived bias shut it out of the market. Dealers would not push it, because their profit on even a 10m stereo pair would be no more than $50.

In my subjective cable experiments I found some wires to offer large subjective improvements over others, and those were not necessarily the more expensive ones. I have had some 5-figure cables on extended loan that were no better (yet no worse) than my $400 ones.

Can ANYBODY partially justify why some $1k+ wires are actually WORTH that?....anybody?
 
Last edited:
As far as I can tell the cost of audiocables are based on several parameters:

Production cost-which may include expensive parts such as OCC copper, pure silver or an exotic mixture of silver, gold and palladium. The dielectric and stipulated geometry may also be spendy...foamed Teflon costs more than PVC.

R&D costs- some companies like Siltech employ full time PhDs in metallurgy to advance their research. This is not cheap.

Distribution Costs- Most wires (apart from the plethora on AliExpress) are not sold factory direct, so go through a distributor /dealer network. This can increase the final retail price by 2-4x. Or more.

Advertising- full page ads in high circulation magazines are unofficially needed to get a review in certain high-circulation journals; and without a glowing review, most punters will look elsewhere.

Perceived cost/performance ratio: While some people set an upper price limit on what they are willing to spend, others set a lower price limit on what they are willing to consider...so someone with $250k Wilson speakers will not even glance at some $400 speaker cables; so they will start their hunt for speaker cables in the $10k+ bracket.

Pride of Ownership: There is a warm fuzzy feeling people get when they KNOW that their wires cost ultra-premium prices.

Profit: All businesses are in business to make money. The dealer markup on cables tends to be higher than those on amps/speakers.

The most expensive industrial cable is that transoceanic submarine cable.
SubCable.jpg

Submarine cable image
This is very expensive...how expensive is very expensive???? Oh, around $50 per (mono) meter. But you can see where your money is going. The copper alone in this would be tens of $ per meter.

In contrast, the much less impressive looking Transparent Magnum Opus speaker wire is around $13,000 per mono meter.

This is more than 250x as expensive as the submarine cable above. And I am virtually certain that it costs a fraction to produce.

If somebody produced a cable that sounded as good as the Transparent for $5/m, would anybody actually buy it, or would preconceived bias shut it out of the market. Dealers would not push it, because their profit on even a 10m stereo pair would be no more than $50.

In my subjective cable experiments I found some wires to offer large subjective improvements over others, and those were not necessarily the more expensive ones. I have had some 5-figure cables on extended loan that were no better (yet no worse) than my $400 ones.

Can ANYBODY partially justify why some $1k+ wires are actually WORTH that?....anybody?

Where can I buy a 3m pair of those cables?
Just what I'm looking for..
 
I love it when the cost goes up in the hundreds per metre.

A 2m speaker cable @ say £400 and a 3m cable @ £550. ... thus pricing the actual wire at £150 a metre....and that is the cheap stuff.

I also love that people fall for it.
 
SubCable.jpg


Apart from the three big cores, a lot of the metal in this seems to be, uh, not copper. What is it, steel? Aluminum? Both?
 
R&D costs- some companies like Siltech employ full time PhDs in metallurgy to advance their research. This is not cheap.
Research?? Metallurgy (from the perspective of audio frequency wires) is a settled science and has been for decades.

There is one reason ,and only one reason why "decent" audio cables are so expensive: marketing mythology and product positioning.

Ok that's two....
 
SubCable.jpg


Apart from the three big cores, a lot of the metal in this seems to be, uh, not copper. What is it, steel? Aluminum? Both?
The majority of the structure of undersea cables are for strength and have nothing to do with the actual signal transmission path.
 


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