David Gordon, Brand Ambassador of Audio Research.
Valerio Cora, who served for four years as executive leader of Minnesota-based Audio Research Corporation, founded Toronto-based loudspeaker company Acora Acoustics in 2018, and was a minority investor in both companies, has been relieved of his responsibilities.
"Acora Acoustics and Audio Research Corporation are separate businesses," reads a press release issued July 2. "Audio Research's operations, product development, dealer support, service, and warranty support continue independently."
Roger Hwang of Toronto, the major financial backer of private company Audio Research since 2023, has assumed leadership responsibilities as ARC CEO. Hwang also represents Crystal Claire, Acora Acoustics' principal financial backer.
Claire is providing "direct oversight" of Acora Acoustics during a "strategic and operational review of its business, structure, dealer relationships, customer support commitments, and future direction ... [that] is intended to give the company a clear and disciplined path forward while protecting the interests of dealers, customers, suppliers, and other stakeholders."
David Gordon, the longtime Brand Ambassador of Audio Research who departed the company on March 23, returned as ARC Brand Ambassador on June 15. Allan Haggar remains Vice President of Sales, Global, and David Schultz remains Director of International Sales at both companies.
Stereophile first got wind of changes at Audio Research on May 7, when Gordon alerted many of his contacts that his 37-year relationship with the company had ended. That relationship began in 1989, with a four-year hiatus while Gordon worked at Thiel Audio from 1992 to 1996.
"Audio Research's founder, Bill Johnson, hired me in 1989, and welcomed me back like a prodigal son in 1996," Gordon wrote. "I was fortunate to work with some wonderful people, including Bill, Rich Larson, Terry Dorn, Ward Fiebiger, Brandon Lauer, and many others.
"We survived Private Equity ownership, which is an amazing feat for a relatively small (mostly) tube audio manufacturer of high-performance audio products with limited distribution. Audio Research's current owner [minority partner Valerio Cora] wants to change Audio Research's and Acora Acoustics' market approach, which does not align with mine, so our relationship ended. I have always appreciated working with carefully chosen business partners who are also friends, working toward our mutual long-term success.
"I am and will remain a huge fan of Audio Research, it is a remarkable company that just celebrated its 56th anniversary. I can tell you without reservation that their new products are wonderful, and they will remain my friends."
During several phone conversations with Gordon and Haggar, Gordon stressed that Hwang "is not a private equity guy who flips companies. His background is manufacturing, not venture capital or private equity. He heads up his own manufacturing company, which is quite large and extensive, with lots of employees. It's a big commitment." In short, Gordon does not see these leadership changes as a threat to the stability of these companies, financial or otherwise.
"As I understand it, the role of CEO was delegated to Val as an industry veteran," Gordon continued. "That role has been rescinded. Evan Skucius and Les Robinson remain co-General Managers of Audio Research in charge of day-to-day operations."
Haggar (shown above) clarified that Gordon remains "a familiar point of contact for clients who maintain a historical perspective, institutional knowledge, and continuity. David Gordon is the closest thing we have to ARC founder Bill Johnson.
"Dave and I deal with consumers directly in different ways. I tend to meet consumers on dealer floors because I spend more time at dealers' stores. We both meet consumers at shows. Dave interacts with consumers on social media more because he has a wealth of knowledge that predates my time at Audio Research."
Separately, Gordon confirmed that Audio Research Corporation is owned by three investors, including Hwang and Cora. The third investor, who remains in the background, holds the smallest share. Hwang supplied the capital that secured Audio Research's engineering team—the team responsible for the REF330M, REF7, REF20, and other new products. Now that Audio Research has a more direct relationship with its main source of funding, Gordon looks forward to having all the funds necessary to advertise, hire more employees, train dealers, and successfully market products.
