CLA-2-85:OT:RR:NC:N1:109

Mr. John M. Peterson
Neville Peterson LLP
Counsellors at Law
17 State Street, 19th Floor
New York, NY 10004

RE: The tariff classification of SUB, a subwoofer for a wireless music streaming system, from an undisclosed country of origin

Dear Mr. Peterson:

In your letter dated October 9, 2012, you requested a tariff classification ruling on behalf of your client, Sonos, Inc.

The merchandise in question is the SUB, a specifically designed subwoofer intended for use with the Sonos digital home music system. The SUB is merely a machine for reception, conversion and transmission of voice or other data. The SUB subwoofer intercepts and decodes the low-end frequencies of the audio file that had previously come out of the ZonePlayer. As data on the system streams, the controller processes the non-audio files (metadata), the ZonePlayers decode the audio files and converts them to sound, and the SUB subwoofer receives and decodes the base register notes of the audio file. The SUB is designed in such a way as to offer deep sound with no vibration or rattle. The SUB has a power source and wireless network card that can be utilized after first wiring either a ZonePlayer or Bridge to the home network using the Ethernet cable.

The device is a wireless digital data receptor, converter and transmitter, which operates using a mesh network for wireless transmission of digital sound files and file streams. It receives digital data, specifically the data that forms the lower register of the audio file, and converts it into sound. Since it is connected to SonosNet’s peer-to-peer network, it also transmits data. As a facet of this mesh network, the SUB actively participates in not only feeding the controller certain metadata, such as song times and album artwork, but also transferring data between different stations on the network. The Sonos SUB subwoofer cannot operate without a connection to a network to which the Sonos software has been loaded. It cannot receive or convert files unless the SonosNet network is active. Once connected, digital audio files from a variety of sources can be accessed and played.

The SUB receives specific parts of the digital music file and converts them into sound. As a device within the mesh network SonosNet, the SUB also participates in the transmission of data and metadata. The SUB subwoofer is substantially and functionally similar to the other Sonos devices.

While the SUB contains amplifier components, it also receives the audio files and decodes the low frequency data to produce the intended sound. However, absent connection to the Sonos network, the SUB cannot receive or play sound. As part of SonosNet, the SUB participates in the transmission of data and metadata to throughout the music system.

The SUB is a composite machine, which consists of reception, conversion and transmission apparatus of heading 8517 and an amplifier of heading 8518.  Note 3 to Section XVI states that a composite machine is to be classified based on its principal function.   It is the opinion of this office that the principal function of the SUB is that of the reception, conversion and transmission apparatus.  The SUB can only function when the SonosNet network, which is a wireless network, is active.  As a result, the SUB functions within a wireless network.  Heading 8517 also provides for reception, conversion and transmission apparatus that functions within a wired or wireless network.  As the principal function of the SUB is to receive convert and transmit voice, audio files or other data in a wireless network it is classifiable in heading 8517.

The applicable subheading for the SUB will be 8517.62.0050, Harmonized Tariff Schedule of the United States (HTSUS), which provides for “Other apparatus for transmission or reception of voice, images or other data, including apparatus for communication in a wired or wireless network (such as a local or wide area network): Machines for the reception, conversion and transmission or regeneration of voice, images or other data, including switching and routing apparatus: Other."  The rate of duty will be free

Duty rates are provided for your convenience and are subject to change. The text of the most recent HTSUS and the accompanying duty rates are provided on World Wide Web at http://www.usitc.gov/tata/hts/.

This ruling is being issued under the provisions of Part 177 of the Customs Regulations (19 C.F.R. 177).

A copy of the ruling or the control number indicated above should be provided with the entry documents filed at the time this merchandise is imported. If you have any questions regarding the ruling, contact the National Import Specialist at (646) 733-3015.

Sincerely,

Thomas J. Russo
Director
National Commodity Specialist Division