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News > Technology
CDs on the way out?
July 28, 1997: 7:12 a.m. ET

Industry agrees on new format for better sound and more capacity
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NEW YORK (CNNfn) - Fifteen years after making the push to compact discs, the recording industry now reportedly plans to replace compact discs with a new format in about two years.
     Record companies and electronics manufacturers have agreed on technical guidelines for "digital versatile disks," or DVD audio, according to a report in the New York Times. The new format will have better sound quality, the industry claims.
     The agreement represents a major shift from the two-channel stereo sound that's been the predominant recording mode for 35 years. CDs won't become obsolete, but the new format will offer multi-channel "surround sound" using six speakers.
     The new disks will be able to store seven times more digital data than today's CDs. Some of the space may also be used for extra channels of interactive text, images or video sequences that could be played on a TV monitor.
     Consumer electronics manufacturers hope the new format will draw the music business closer to the home-theater market.Back to top

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Market indexes are shown in real time, except for the DJIA, which is delayed by two minutes. All times are ET. Disclaimer LIBOR Warning: Neither BBA Enterprises Limited, nor the BBA LIBOR Contributor Banks, nor Reuters, can be held liable for any irregularity or inaccuracy of BBA LIBOR. Disclaimer. Morningstar: © 2014 Morningstar, Inc. All Rights Reserved. Disclaimer The Dow Jones IndexesSM are proprietary to and distributed by Dow Jones & Company, Inc. and have been licensed for use. All content of the Dow Jones IndexesSM © 2014 is proprietary to Dow Jones & Company, Inc. Chicago Mercantile Association. The market data is the property of Chicago Mercantile Exchange Inc. and its licensors. All rights reserved. FactSet Research Systems Inc. 2014. All rights reserved. Most stock quote data provided by BATS.