LOUD Audio
| Company type | Private |
|---|---|
| Industry | Professional audio |
| Predecessor | Mackie Designs, Inc. |
| Founded | 1988 |
| Founder | Greg Mackie |
| Headquarters | Bothell, Washington , United States |
Area served | United States, Canada, China |
Key people | Alex Nelson (CEO), Danny Olesh (CTO), Mark Ureda (Director) |
| Products | Professional audio equipment (Mackie brand) |
| Owner | Transom Capital Group |
LOUD Audio, LLC operates as a professional audio enterprise based in Bothell, Washington, with business activities spanning the United States, Canada, and Shenzhen, China. Established in 1988 under the name Mackie Designs, Inc., the company adopted the name Loud Technologies Inc in 2003 to create a clear distinction between its corporate identity and its leading mixing console brand, Mackie.
Between 2003 and 2018, LOUD Technologies broadened its brand portfolio by acquiring and distributing multiple musical instrument and professional audio companies. In 2017, Transom Capital Group took ownership of the firm and rebranded it as LOUD Audio, LLC. Within a year following this acquisition, the company divested several key brands such as Ampeg, Martin Audio, and EAW, refocusing its efforts solely on the Mackie brand.
Founding
Entrepreneur Greg Mackie established Mackie Designs in 1988 after previous successful engagements with TAPCO and AudioControl. His vision was to develop cost-effective yet high-quality mixing consoles, beginning with the release of the LM-1602 model from his condominium located in Edmonds, Washington.
Initial expansion
Over a span of four years, Mackie Designs, Inc. experienced rapid growth, with sales increasing from $3.8 million to more than $64 million. This surge was largely attributable to relocating production into a specialized facility dedicated to the CR-1604 mixer. The CR-1604’s combination of features, performance capabilities, and competitive price point propelled it to significant market success. This model contributed to nearly half of Mackie's revenue stream, with sales reaching hundreds of thousands of units during five years.
Sustaining an annual growth rate exceeding 100% necessitated ongoing manufacturing capacity enhancements. By 1994, the company operated out of a 30,000 square-foot plant; following the sale of its 100,000th mixer in 1995, it transitioned into a 90,000 square-foot factory equipped with automated assembly lines designed to increase efficiency and lower production costs. By this time, Mackie Designs offered eight different mixers and had completed its initial public offering.
Expansion through diversification and acquisitions
During the 1996 NAMM Show, Mackie broadened its product range by introducing power amplifiers and active studio monitors while also entering the market for higher-end mixing consoles. In 1997, the company debuted its first digital product—the Digital 8-Bus Recording Console—and collaborated with Digidesign to co-develop the Human User Interface (HUI) control surface tailored for Pro Tools.
From 1998 through 2000, Mackie extended beyond its original brand through strategic acquisitions: it acquired RCF in 1998 and utilized RCF’s technology to launch the SRM450 powered loudspeaker in 1999; it purchased Eastern Acoustic Works (EAW) in 2000; by 2001, loudspeakers accounted for 55% of overall revenue.
In addition, Mackie acquired Acuma Labs in 2000 for its technological capabilities and expertise following years of partnership. The subsequent year marked the company's entry into professional audio production with the acquisition of Sydec and introduction of the Mackie Broadcast Professional product line.
Legal dispute with Behringer
On June 18, 1997, Mackie Designs initiated legal action against Behringer GmbH, accusing them of trademark infringement, trade dress violations, copyright breaches, patent infringement, and unfair competition involving both U.S. and German subsidiaries; damages sought amounted to as much as $327 million. However, by 1999, the court dismissed the case favoring Behringer after determining that Mackie's circuit board designs did not receive protection under U.S. copyright law.
A parallel lawsuit filed against Behringer UK also failed when the court ruled that U.S. citizens are not entitled to design rights under the European CDPA unless they reside within the EU or other qualifying jurisdictions.
Equity Investment and Corporate Rebranding
In February 2003, following seven consecutive quarters of financial losses and declining revenue, private equity firm Sun Capital Partners purchased a 65% ownership interest in Mackie, resulting in the company’s removal from NASDAQ trading. Although founder Greg Mackie stepped down from the board, he continued to serve as a consultant.
By mid-2003, the company revealed plans to lay off 200 manufacturing workers and shift critical production processes to outsourced manufacturers as a cost-saving measure. Later that year, in September, the parent entity adopted the new name LOUD Technologies, Inc. to clearly separate its corporate identity from the Mackie brand.
Additional Acquisitions and Divestitures
In December 2003, LOUD divested its operations in Italy, which included the RCF brand.
In March 2005, LOUD expanded its portfolio by acquiring St. Louis Music, encompassing brands such as Ampeg, Crate Amplifiers, Alvarez Guitars, and Knilling orchestral string instruments. St. Louis Music continued to operate as a fully owned subsidiary. Two years later, in March 2007, LOUD further broadened its reach by purchasing Martin Audio.
By November 2008, U.S. Band and Orchestra Supplies Inc. acquired St. Louis Music along with Knilling from LOUD; however, LOUD retained ownership of Alvarez, Ampeg, and Crate brands. The following year, St. Louis Music secured exclusive rights to distribute and market Alvarez Guitars.
Change in Ownership and Strategic Refocus
In October 2017, Transom Capital Group took ownership of all LOUD Technologies brands and rebranded the enterprise as LOUD Audio, LLC. Initially focused on investing in brand development, Transom shifted its approach during 2018 by divesting multiple assets: Ampeg was sold to Yamaha Guitar Group in May; Martin Audio was transferred to Lloyds Development Capital in July; and EAW was sold to the RCF Group in September. These moves concentrated the company's efforts primarily on the Mackie brand.
In 2019, LOUD Audio enhanced its governance by appointing Mark Ureda—formerly Senior Vice President at Harman Professional—to its board of directors, bringing valuable industry experience to leadership.
Relocation from Woodinville to Bothell
At its operational height, LOUD Audio maintained two contiguous facilities in Woodinville, Washington—Mackie Designs I (89,147 RSF) and Mackie Designs II (81,250 RSF)—which housed all company functions. Due to shifts in manufacturing toward Mexico and China coupled with brand divestitures, LOUD reduced its U.S. footprint and moved its headquarters to Bothell, Washington in 2019.
Former Leadership
- Jamie Engen, Chief Executive Officer (2003–2008)
- Rodney Olson, Chief Executive Officer (August 2008–2010)
- Mark Graham, Chief Executive Officer (October 2010–2018)
- Ty Schultz, Managing Partner at Transom Capital Group (2015–June 2021)
- Ralph Quintero, Vice President of Sales and Marketing (February 2020–December 2021)
Current Leadership
- Alex Nelson, Chief Executive Officer (August 2020–present), previously Mackie President and General Manager (2006–2020)
- Danny Olesh, Chief Technology Officer (March 2021–present)
- Mark Ureda, Director (January 2019–present)
Active
Previously Owned
- Alvarez Guitar
- Ampeg
- Austin Guitar
- CRATE Audio
- EAW
- EAW Commercial
- Knilling Instruments
- Mackie Broadcast
- Martin Audio
- Rhythm Art
- RCF
- SIA Software
- SLM Marketplace
- Tracktion
Discontinued
- Blackheart
- Crate Amplifiers
- TAPCO (a Mackie brand)
External links
- Companies founded in Washington state in 1988
- American businesses established in 1988
- Over-the-counter traded companies in the U.S.
- Professional audio equipment manufacturers
- Woodinville, Washington-based companies
- U.S. audio equipment producers
- Mergers and acquisitions in 2003
- Mergers and acquisitions in 2017
- LOUD Audio
- Companies of the United States by year of establishment
- American companies established in 1988