In one embodiment, a dual-mode earphone is provided, comprising a first earbud including a speaker with a diaphragm and at least one acoustic port in front of the diaphragm, and a cap in front of the speaker. The speaker or the cap is configured to move relative to the other for opening and closing the acoustic port in one embodiment and a movable seal is provided in another embodiment. The earphone further includes a second earbud housing operably coupled to the first earbud opposite the speaker. A method for providing acoustic equalization in a dual-mode earphone is also disclosed.