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Note: This usage should not be confused with [[audio data compression]].
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In [[telecommunication]], '''companding''' is an [[operation]] in which the [[dynamic range]] of signals is compressed before [[transmission]] and is expanded to the original value at the receiver.
This is typically carried out in analog systems by using a [[voltage controlled amplifier]] which has its gain reduced as the power of the input signal increases.
The use of companding allows signals with a large dynamic range to be transmitted over facilities that have a smaller dynamic range capability. Companding reduces the [[noise]] and [[crosstalk]] levels at the receiver.
Compare with:
* [[squelch]]
Source: from [[Federal Standard 1037C]] in support of [[MIL-STD-188]]
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