Interesting post, caesar. I agree that the two experiences, in their entirety, are very much different. However, I think that Al is simply referring to the "sound" of live, unamplified instruments, in a real setting and comparing that sound to the "sound" of recorded instruments over his system in his room. I don't think he is also referring to the rest of what happens at live shows all around him, which can certainly never be reproduced in the home. He is not pretending that he can get the Jimi Hendrix at Woodstock experience in his living room. The mud, the girls, the drugs, the garbage, etc.
Another great example of reproduced sound is in Rockitman's system. I heard this system a couple of years ago. Christian told me and my friend that he traveled for years to Grateful Dead concerts and recorded many of them to tape. Christian's system reproduces very well that live, amplified, "wall of sound" of a rock concert, heard at these kinds of shows, though I am sure not all of what one experiences at a Dead concert. It also reproduces solo, acoustic instruments well.
I can't help but think that Rockitman's system is set up in part to reflect and to reproduce his memory of the sound of his live musical references. They are different in scale and type from Al's references which tend to be smaller scale, acoustic performances, but nevertheless, they are reflective of the owner's reference to the "sound" of live music.
Well, perhaps I should not write for Al or others. I try, often unsuccessfully, to reproduce the sound of a violin, voice, or piano, through my system at home. I use my memory of such sounds from the experiences I've had. It is only a guide and reference. I don't know of a better one. Others have the goal of simply enjoying or getting lost in their music, regardless of how convincing they think it is or is not. That is fine too.
