Dear Ashok,
Amplifier efficiency is a topic that seems to be poorly understood, judging from the comments and questions I have had from readers, so I thought that I would put something together to explain away some of the mystery. As I progressed, it became obvious that I was going to have a lot more work to do than originally intended, since many of the basic concepts will also require explanation.
Efficiency in itself is not hard - power out versus power in. No electronic device can ever be 100% efficient, and all lost power in an amplifier is converted to heat. It makes some sense to try to make an amp as efficient as possible, but if this causes an unacceptable degradation of the sound quality, then it matters not how many efficiency stars it has, no-one will want to listen to it.
At the other end of the scale, there are Class-A amplifiers, some of which are so inefficient that it almost defies belief. This waste of power does not necessarily translate into better sound, although reading some material would lead you to think that the lower the efficiency, the better it must sound. This is (of course) not true.
This article describes a single channel amplifier, using Class-A and Class-B. No allowance has been made for reactive loads (as occur in loudspeakers), which can increase power dissipation dramatically.
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