Thursday, January 21, 2010

The Lexicon/Oppo Debacle

If you're a home theater enthusiast then by now you've probably heard about the fiasco involving Lexicon essentially repackaging an Oppo BDP-83 in a lovely case and charging $3500 for it. If you have not, here it is:

http://www.audioholics.com/reviews/transports/high-definition-dvd-players-hd-dvd-blu-ray/lexicon-bd-30-blu-ray-oppo-clone

Like a lot of boutique electronics manufacturers, I think that Lexicon is struggling to survive in an environment where rapid technological advancement and globalization keep working to make them less relevant every day.

I think that if Lexicon thought they could have really made performance improvements to the BDP-83 then they would have. I can't imagine that they really wanted to simply stick an Oppo in a Lexicon wrapper and send it out the door.

Wealthy people aren't stupid, and these days they watch their pennies just like everyone else. They don't want to pay $3000 for a case, especially when the gear is going into a rack in a closet and won't be visible most of the time anyways. I'm sure there are a few guys out there who will pay up for the Lexicon, but there are a lot less than there were a few years ago, and I'm sure Lexicon knows that better than anyone else.

What's bad for outfits like Lexicon also happens to be great for the consumer. The fact that Lexicon has decided that a $500 blu-ray player performs well enough to bear their name says a lot about how much performance is available today for relatively few dollars.

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