Three compelling reasons that bolster my confidence in Harman's ownership being advantageous for Bowers & Wilkins:
**Harman International's Acquisition of Bowers & Wilkins: A Cautious Step Towards Expansion**
Harman International, a subsidiary of Samsung Electronics, has recently taken a strategic step forward in its core audio business with the acquisition of Bowers & Wilkins (B&W). This move marks the third change in B&W's ownership in just five years, with the company now joining a prestigious portfolio of audio brands under Harman's wing.
Since 2017, Harman has been the custodian of several well-regarded audio brands, including Denon, Marantz, Classé, Polk Audio, JBL, Infinity, AKG, Mark Levinson, and Harman Kardon. The acquisition of B&W exemplifies Harman's strategy of revitalizing iconic audio brands by leveraging its resources, ultimately sustaining their legacy and commercial success in competitive audio markets.
Bowers & Wilkins has long been renowned for its high-end speakers and headphones, balancing legacy quality with broader market appeal. Harman's acquisition brings renewed engineering support, global distribution capabilities, and opportunities to revitalize B&W's luxury audio market presence.
For B&W, this means enhanced product design and engineering, particularly in its luxury lifestyle audio segment, as well as expanding headphone technology to compete with industry giants like Bose and Sony in noise-cancelling headphones. The acquisition also offers B&W wider market access, helping it maintain a competitive edge in both audiophile and consumer segments.
Harman's portfolio extends beyond home and personal audio, with a strong presence in automotive audio systems through JBL, Infinity, and Harman Kardon. This diversification gives Harman a leading position in various audio markets worldwide.
The acquisition of B&W is not the first foray into the car audio systems market for the brand. Given B&W's established presence in this area, this synergy could potentially benefit both parties.
One of the brands involved in the sale is Bowers & Wilkins. For home cinema fans, the B&W 606 and 607 S3 speaker package tops the best surround sound systems guide, while the Bowers & Wilkins Px7 S3 wireless headphones are currently the best option for audiophiles according to the buying guide.
Harman International operates as a distinct entity focused on established AV brands. This approach has allowed it to maintain the unique character and 'soul' of the audio brands it owns, as demonstrated by Arcam, another brand under Harman's wing since 2017. Arcam continues to prioritize exceptional sound quality for real-world money, as evidenced by the recent five-star ratings and awards received by its new line of hi-fi electronics, including the Arcam A5 and Arcam A15 amplifiers.
Mark Levinson, another brand owned by Harman, has also maintained its focus on delivering high-end top-of-the-line products, as showcased by the five-star No. 5909 headphones and No.5805 stereo amplifier it has launched while under Harman ownership.
Despite the acquisition, there are concerns about how the change in ownership might affect B&W's focus and product line. However, the potential for Harman's ownership to benefit B&W by providing added resources without interfering with its core offering is a reason for cautious optimism about B&W's future.
In summary, Harman International's acquisition of Bowers & Wilkins is a strategic step forward in expanding its core audio business. By leveraging its resources, Harman aims to revitalize B&W and other iconic audio brands, sustaining their legacy and commercial success in competitive audio markets.
- The acquisition of Bowers & Wilkins (B&W) by Harman International signifies a strategic move in Harman's core audio business, showcasing its intention to revitalize iconic audio brands.
- Harman International, a subsidiary of Samsung Electronics, now houses a prestigious portfolio of audio brands, including Bowers & Wilkins, after the recent acquisition.
- The deal offers Bowers & Wilkins renewed engineering support, global distribution capabilities, and opportunities to revitalize its luxury audio market presence.
- Harman's acquisition aims to enhance product design and engineering, particularly in B&W's luxury lifestyle audio segment, and expand headphone technology to compete with industry giants.
- Harman's portfolio extending beyond home and personal audio, with a strong presence in automotive audio systems, gives it a leading position in various audio markets worldwide.
- The acquisition synergy could potentially benefit both parties, given B&W's established presence in car audio systems.
- In the realm of home cinema, Bowers & Wilkins' 606 and 607 S3 speaker package tops the best surround sound systems guide, while the Bowers & Wilkins Px7 S3 wireless headphones are highly regarded by audiophiles.
- As a distinct entity, Harman International maintains the unique character of the audio brands it owns, as demonstrated by Arcam, another brand under Harman's wing.
- Despite concerns about the impact of Harman's ownership on B&W's focus and product line, the potential for added resources without interfering with its core offering fosters cautious optimism about B&W's future.
