A growing demand for high quality audio delivery and the increased requirements for the storage of digital audio data have motivated considerable research towards formulation of compression schemes which can satisfy both the conflicting demands of high compression ratios and transparent reproduction quality at the same time. Psychoacoustic principles, different quantizing and bit-allocation schemes, subband coding and transform coding will be presented in more detail in order to introduce and compare different perceptual coding algorithms. A short overview of the development of perceptual coding algorithms, including the different MPEG–Audio standards and the concept of different layers, used in MPEG-1/2 will be addressed before the following algorithms: MPEG-1, MPEG-AAC, Dolby AC3, ATRAC (Minidisc) and emerging standards, such as MPEG-4, are compared in more detail.
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