Adaptive Transform Acoustic Coding (ATRAC) is a family of proprietary audio compression algorithms developed by Sony. MiniDisc was the first commercial product to incorporate ATRAC in 1992. ATRAC allowed a relatively small disc like MiniDisc to have the same running time as CD while storing audio information with minimal loss in perceptible quality. Improvements to the codec in the form of ATRAC3, ATRAC3plus, and ATRAC Advanced Lossless followed in 1999, 2002, and 2006 respectively.
Other MiniDisc manufacturers such as Sharp and Panasonic also implemented their own versions of the ATRAC codec.
Read more about Adaptive Transform Acoustic Coding: General Bitrate Quality, Performance, ATRAC1, ATRAC3 (LP2 and LP4 Modes), ATRAC3plus, ATRAC Advanced Lossless
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