With a grim outlook for Freedman Electronics, Peter was desperate for a solution to the company’s financial situation and amongst other ventures he recalled a microphone he had found almost ten years previously at a trade show in Shanghai, China in 1981. After gauging local market interest he imported 20 of them. “They were shit... two out of the 20 weren’t working at all” Peter recalled in an interview. “I opened them up, and saw they’d used inferior components and the soldered joints were bad. So I fixed up the parts, made a board mod here and there and got them to a point where we could sell them. They weren’t super quiet compared to what we're doing now ... but they worked.” 
Sales of the modified microphone began to take off in Sydney, which (in the Australian vernacular) was likened to “a rat up a drain pipe”. This gave lend to the unofficial title the ‘Rodent-1’, which was later broken up to become the RODE NT-1. Peter Freedman dropped in the ‘Ø’ character as a salute to his Scandinavian heritage, and Rode was born.
Following the microphone’s early popularity, the company decided that it would be a wise investment to move more of the manufacturing to Australia. This move would improve product quality, reduce reliance on offshore contractors, and ensure that all manufacturing knowledge developed would stay in-house