Back in the 1950s, Cesare Sanavio, then a new electronics graduate with a specialty in output transformers for tube amplifiers, began his career in radio and television, traveling to various locations outside his native Italy to apply his expertise. Eventually he settled in Paraguay and started designing tubed sound systems for public installations, teaching his son Luciano the art. A few years later, Sanavio and his family returned to Italy. There, he worked as a consultant to several hi-fi companies. Finally, in 1994, drawing on decades of accumulated knowledge of tube-amplifier design and manufacturing, and a particular focus on output transformers of the highest quality, Cesare Sanavio and his two sons, Luciano and Lorenzo, formed Mastersound.

When Cesare Sanavio died, Lorenzo and Luciano continued operations. In 2015, the company re-formed, with some new international business connections and a new CEO, Antonio Ferro.