A 2-way speaker, also known as a coaxial speaker, has separate tweeter mounted on a pole in the centre of the speaker. The tweeter has a built in crossover which separates the high frequencies, and gives more clarity and definition to your music.
A 3-way speaker is also known as a tri-axial speaker. They have a small midrange speaker as well as a tweeter mounted on the pole piece. Both the mid and tweeter have their frequencies controlled by a built in crossover providing better clarity and wider frequency response.
3-way speakers generally have a higher RMS output than 2-way speakers, produce cleaner signal separation and better definition.
