Differences between Digital and Analog Audio

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Digital or not

In playing a CD, the signal on the CD is always digital. At some point in the unit, it gets converted to analog. This may be before or after a DSP.

As for AM or FM radio, the signal is analog. However, in some high end units, it may be converted to digital for signal processing and back to analog. Maybe. See the specs for the unit. However, normally this is not the case.

If you have satellite (XM, etc.) or digital radio, the signal is digital and gets converted to analog at some point.
 
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