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Digital music is music that has been converted from sound into binary digital code. It represents the single biggest innovation in the music industry since Thomas Edison first scratched his own voice reciting “Mary Had a Little Lamb” into a piece of tinfoil in 1876. It has proved to be both boon and bane to the recording industry.

In 1981, two electronics manufacturers (Philips and Sony) perfected the compact disc (CD), the first mass-marketed digital-music format. CD sales rapidly overtook those of vinyl long-playing records, first surpassing them in 1988. However, the same digital technology that helped to pull the recording industry out of an extended recession in the 1980s later shook record companies to their foundations.

In the mid-1990s, a combination of new consumer-electronics products, improved software, and enhanced digital-compression algorithms made it suddenly easy for music listeners to make digital copies of CDs at home. Coupled with the Internet, digital home copying led to music piracy, as fans began downloading the near-perfect digital clones of their favorite tunes that were offered in abundance online. The record industry had been slow to react to the Internet gold rush, and initially ignored the download trend. But by early 2000, with “pirates”—especially users of the online service Napster—numbering in the millions, labels launched numerous court battles on many fronts to stem the digital-music tide. Belatedly, in late 2001, they also launched their own online music initiatives.

Background

The history of digital music parallels the history of computing. Harry Nyquist's 1929 publication of what is known as Nyquist's Theorem was a key initial development; it proved that periodic “snapshots” or “samples” of a sound could be taken, and that the sounds could be reconstructed later using those snapshots. Nyquist further demonstrated that if sounds are sampled at a rate at least twice as fast as their original frequency, no sound quality is lost upon reconstruction. Nyquist's Theorem, published before the invention of digital computers, is now the foundation for all digital-audio processing. In 1937, an International Telephone and Telegraph electrical engineer, Alec H. Reeves, advanced Nyquist's idea by devising pulse code modulation (PCM), a technology that digitizes sounds by sampling them 8,000 times a second. PCM still is used in most forms of digital recording.

Two decades would pass before Max Mathews, head of behavioral sciences research at Bell Labs and an amateur violinist, generated the first digital music from a computer in 1957. Mathews' work with digital signal processing (DSP) helped push analog telecommunications into the digital realm, while also helping to inaugurate modern digital music.

In 1979, the Royal Philips Electronics firm developed a prototype for the CD, a five-inch-diameter plastic disk with many tiny pockets pressed into it. A song's digital code is “burned” into these dimples on the disk's surface using laser technology, storing the song for later playback. At the end of the 1970s, Philips and Sony of Japan entered an agreement to jointly produce a commercially viable version of the CD, and by 1980 they arrived at a standard that gave CDs 650 MB (megabytes) of data storage, about 74 minutes of music. By 1983, electronics companies began rolling out CD players, and by 1988, Philips alone was manufacturing three million players a year. Record stores around the world began tearing out their album racks to give CDs more retail space.

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