With flagship A/V receivers approaching apartment building size and black-hole heft, there’s a great deal to be said about separating the brains of the operation from the brawn. If you choose separates, it means you never have to borrow a construction crane to hoist a feature-laden, mega-watt seven- or eight-channel receiver onto a tall equipment rack.

When we first reviewed Anthem’s Statement D2 in the December 2006 issue, HDMI switching was just emerging. But it wasn’t as crucial as it is today, now that next-gen audio and video applications are firmly established. There’s a story to be told in how the Statement D2 increased its utility in the connectivity tumult of these last two years. And there’s another story in its ability to stand tall even now, as onboard decoding of the advanced audio formats is now emerging in AVRs and pre/pros. The Statement D2 has adapted to the evolving standards and features that HDMI carries. Now at $7,499, the Statement D2 offers an advanced auto-setup and room-calibration system that furthers its value. It’s worth a fresh look.

My son, Nick, recently attended an engineering weekend for high-school seniors at a nearby university. After splitting into teams, the attendees competed in several engineering challenges, one of which was to build a contraption made from a meager assortment of supplied materials (including an Alka-Seltzer tablet) that would move a small toy car across a pan of water.

The component that put NAD on the map in the mid 1970s—the 3020 integrated stereo amplifier—didn't look like a giant killer. Finished in an indeterminate shade of grayish-brown and devoid of gee-whiz features, the 3020 nevertheless became one of the best-selling audiophile amplifiers of all time—and not just because it sounded better than anything going for two or three times its humble MSRP. The 3020 had that special something that made it, well, lovable. Over the decades, the engineers squeezed a bit of the 3020's magic into every NAD product, but they've pulled out all the stops with the new Masters Series components. They had to, as the ultimate NADs are competing with the likes of Anthem, Arcam, B&K, and Rotel. They're playing with the big boys now.

While Sunfire's Bob Carver isn't quite the household name that Apple's Steve Jobs is, he absolutely qualifies as a bona fide audio legend. Carver's greatest hits range from his early high-power amplifier, the 350-watt-per-channel Phase Linear 700, to Sonic Holography, Bob's virtual-surround generator. Carver also did much to inspire the new breed of super-potent, ultracompact subwoofers with his much-copied Sunfire True. His knack for audio innovation pumped my expectations for a couple of his latest creations, Sunfire's Theater Grand TGP-5 pre/pro and the TGA-5400, a 400-watt-per-channel amplifier.

The audio industry seems about to leap off a cliff. Permit me to suggest that this may be a rash decision. True, component audio sales have diminished, but that's no excuse for the industry to abandon its principles and give up on sound quality. What consumers are rebelling against is not good sound but bad design. They've had enough of big, dumb, room-hogging speakers. "It doesn't suit the room, but it sounds good" doesn't cut it anymore. "It looks as good as it sounds" is the winning combination.

Whether by nature or nurture, I'm a speaker guy. I'm more captivated by speakers than any of the associated electronics in a home theater system. As a result of this singular infatuation, I've always believed, as a general rule of thumb, that you should allocate at least half of the total cost of the audio portion of your system to the speakers. I don't know why the math seems to work out that way, but, in my mind, it just does. So what am I to make of a system in which the Primare electronics cost twice as much as the Sequence/REL speaker package?