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[[Perceptual coding]] was first used for [[speech coding]] compression, with [[linear predictive coding]] (LPC).<ref name="Schroeder2014">{{cite book |last1=Schroeder |first=Manfred R. |title=Acoustics, Information, and Communication: Memorial Volume in Honor of Manfred R. Schroeder |date=2014 |publisher=Springer |isbn=9783319056609 |chapter=Bell Laboratories |page=388 |chapter-url=https://books.google.com/books?id=d9IkBAAAQBAJ&pg=PA388}}</ref> Initial concepts for LPC date back to the work of [[Fumitada Itakura]] ([[Nagoya University]]) and Shuzo Saito ([[Nippon Telegraph and Telephone]]) in 1966.<ref>{{cite journal |last1=Gray |first1=Robert M. |title=A History of Realtime Digital Speech on Packet Networks: Part II of Linear Predictive Coding and the Internet Protocol |journal=Found. Trends Signal Process. |date=2010 |volume=3 |issue=4 |pages=203–303 |doi=10.1561/2000000036 |url=https://ee.stanford.edu/~gray/lpcip.pdf |issn=1932-8346}}</ref> During the 1970s, [[Bishnu S. Atal]] and [[Manfred R. Schroeder]] at [[Bell Labs]] developed a form of LPC called [[adaptive predictive coding]] (APC), a perceptual coding algorithm that exploited the masking properties of the human ear, followed in the early 1980s with the [[code-excited linear prediction]] (CELP) algorithm which achieved a significant compression ratio for its time.<ref name="Schroeder2014"/> Perceptual coding is used by modern audio compression formats such as [[MP3]]<ref name="Schroeder2014"/> and [[Advanced Audio Codec|AAC]].
[[Discrete cosine transform]] (DCT), developed by [[N. Ahmed|Nasir Ahmed]], T. Natarajan and [[K. R. Rao]] in 1974,<ref name="DCT">{{cite journal |author1=Nasir Ahmed |author1-link=N. Ahmed |author2=T. Natarajan |author3=Kamisetty Ramamohan Rao |journal=IEEE Transactions on Computers|title=Discrete Cosine Transform|volume=C-23|issue=1|pages=90–93|date=January 1974 |doi=10.1109/T-C.1974.223784 |url=https://www.ic.tu-berlin.de/fileadmin/fg121/Source-Coding_WS12/selected-readings/Ahmed_et_al.__1974.pdf}}</ref> provided the basis for the [[modified discrete cosine transform]] (MDCT) used by modern audio compression formats such as MP3<ref name="Guckert">{{cite web |last1=Guckert |first1=John |title=The Use of FFT and MDCT in MP3 Audio Compression |url=http://www.math.utah.edu/~gustafso/s2012/2270/web-projects/Guckert-audio-compression-svd-mdct-MP3.pdf |website=[[University of Utah]] |date=Spring 2012 |
==List of lossy formats==
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! Abbreviation
! Introduction
! Market share {{small|(2019)}}<ref name="Bitmovin">{{cite web |url=https://cdn2.hubspot.net/hubfs/3411032/Bitmovin%20Magazine/Video%20Developer%20Report%202019/bitmovin-video-developer-report-2019.pdf |title=Video Developer Report 2019 |website=[[Bitmovin]] |year=2019 |
! {{Abbr|Ref|Reference(s)}}
|-
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| 1993
| 49%
| <ref name="Guckert">{{cite web |last1=Guckert |first1=John |title=The Use of FFT and MDCT in MP3 Audio Compression |url=http://www.math.utah.edu/~gustafso/s2012/2270/web-projects/Guckert-audio-compression-svd-mdct-MP3.pdf |website=[[University of Utah]] |date=Spring 2012 |
|-
| [[Advanced Audio Coding]] ([[MPEG-2]] / [[MPEG-4]])
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| 2000
| 7%
| <ref name="vorbis-mdct">{{cite web |author=Xiph.Org Foundation |publisher=Xiph.Org Foundation |url=http://www.xiph.org/vorbis/doc/Vorbis_I_spec.html#x1-50001.1.2 |title=Vorbis I specification - 1.1.2 Classification |date=2009-06-02 |
|-
| [[Constrained Energy Lapped Transform]]
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| 1990
| 14%
| <ref>{{cite web |title=Digital Theater Systems Audio Formats |url=https://www.loc.gov/preservation/digital/formats/fdd/fdd000232.shtml |website=[[Library of Congress]] |
|-
| [[Master Quality Authenticated]]
|