Klaus assembles everything in Indianapolis with local labor. Some of the parts are sourced overseas, but the circuit boards, sheet metal, etc., is fabricated in the U.S.
The particular model mentioned by JV was the entry-level Khartago, and basically it's a lot of fun for the price. Of course the Stratos (various forms) and Kismet series run from $2500 to $5000 roughly, and are in a completely different league. Mine took almost exactly 90 days to break in, being operated continuously. Power cost is about $25 a month here in Hawaii, where the power is quite expensive, so that's acceptable.
What I noticed immediately between the Stratos stereo Extreme amp (extra transformer, extra power caps) and the Kismet monoblocks was a smoother, more continous sound. The Kismets are 8 power transistors per side; the Strato has 4. The Kismet is clearly a truly high-end product, and an exceptional value. Selling factory-direct helps keep the price reasonable.
The voicing is just ever so slightly to the warm, which makes for fatigue-free listening. It is extremely detailed, miles of depth and width to the soundstage (and this is mid-range DACs), and really easy on the ears all at the same time. They're on to something here.