Bang & Olufsen (B&O) is a Danish high-end consumer electronics company that designs and manufactures audio products, television sets, and telephones, originally from Denmark, founded in 1925 by Peter Bang and Svend Olufsen, who designed a radio to work with alternating current, a product of significance at a time when most radios were still running on batteries.
History
Early history
Peter Bang (1900–1957), son of Camillo Bang, a successful Danish businessman, showed great interest in radio technology from an early age. After graduating as an engineer in 1924, he spent six months working in a radio factory in the USA. When he returned to Denmark, he collaborated with his friend Svend Olufsen (1897–1949), whose parents made the attic of their manor house in Struer in Jutland available for experiments. When they officially opened their business in 1925, Bang focused on the technology while Olufsen was dealing with business. There were a number of successful developments in the 1930s and 1940s, including a sound recording system for the film industry, roof-mounted loudspeakers for circuses and army vehicles, and the iconic Beolit 39 radio that featured a Bakelite cabinet.
However, it was many years before their business became significantly profitable. The firm suffered a major setback towards the end of World War II when its factory at Gimsing was burnt down by pro-Nazi saboteurs as a punishment for the management's refusal to team up with the Germans. Undeterred, Bang and Olufsen rebuilt the factory, and they produced electric razors until 1955, and then moving on to develop a range of radio, radiogram, and television sets, that was influenced later by a designer named Ib Fabiansen who began work for the company in 1957.[4]
In the 1990s, B&O opened its dedicated stores, selling directly to customers but not selling through retailers, and the production of audio separates was discontinued in favor of mini-type audio systems sold, as was before for B&O, at a price that was higher than the industry average.
Recent history
Because of the 2008 financial crisis, the company experienced a sharp decline in sales and announced significant losses; between 2008 and 2009, annual revenue declined from $853 million to $528 million, and its stock price dropped from $52 to $8.50.[5] A restructuring plan included 300 layoffs in Denmark on 21 October 2008, and the abandonment of development of new mobile phones, MP3 players, and standalone systems like DVD2 and HDR2. Instead, the company focused on its traditional strengths: high-quality audio and video products as well as sound systems for the automotive industry.[6] B&O returned to profitability in 2010.
In January 2015, B&O revealed that the firm would consider bid approaches from competitors due to a profit warning issued at the end of 2014.[7]
In March 2015, HP Inc. announced that B&O would become the company's new premium audio partner for its computers and other devices after Beats takeover by Apple
Operations and products
Despite its decision to suspend the manufacture of separate components, B&O continues to develop and market loudspeakers. Its flagship speaker, the BeoLab 5, uses digital signal processing to adjust its frequency response to the room and location in which it is placed. Its midrange and treble drivers use the audio lens technology developed by Sausalito Audio's Manny LaCarrubba to spread the sound over a 180-degree range in order to fill the room, overcoming the directional range limitations of normal midrange and treble drivers, and preventing the sound from reflecting off the ceiling and floor before reaching the listener. B&O later acquired the audio lens technology in 2007.
In 2003, B&O entered into an agreement with Audi to provide an advanced sound system[13] and in 2005 a sound system based on the BeoLab 5 with 1000 W amplifiers became available to Audi's flagship model, the A8.[14] Audi markets this sound system using the Bang & Olufsen brand name. A unique feature of this sound system is its motorized tweeters that emerge from the dashboard when the sound system is turned on.
Audi also extended the optional advanced sound system to their
Subsidiaries
- ICEpower a/s was formed in 1999 as a joint venture between B&O and Karsten Nielsen. The company is a technology research and design organization working in the field of switching type Class-D amplifier.[28]
- Bang & Olufsen Medicom a/s manufacturers and designs medical products such as inhalers and automatic syringes.[29]
- Bang & Olufsen Telecom a/s.
- B&O PLAY[30] is the newest member of the Bang & Olufsen family launched in 2012.
Partnerships
See also
- Beocenter 9500
- List of phonograph manufacturers
External links
References
- Financial Information www.bang-olufsen.com^
- Annual Report 2023/24 www.bang-olufsen.com^
- Annual Report 2020/21: 01 June 2020 – 31 May 2021 ml-eu.globenewswire.com^