Making Your Choice. When it comes down to it, much of the choice between a two-way and three-way speaker system is whether you're purchasing coaxial or component speakers. For the former, the two-way system is generally preferable; if you have the budget for it, the three-way system is the optimal format for the latter ...

For a fair comparison, imagine two high-quality speakers, one 2-way and one 3-way. Generally speaking, the 3-way speaker is likely to deliver a fuller and more accurate sound. This is largely due to the extra crossover in the 3-way system, which gives more attention to the middle frequencies.

A 2 way speaker has 2 components, a tweeter for high frequency and a mid-range. The 4 way speaker has a bass and a mid-range component as well as 2 tweeters, so it's a bit better for high range sound, but overall not much higher in quality than the 2 way.

Coaxial loudspeakers have been used in stage monitors, giving musicians a more even sound field because of the single-source characteristic.