The continuous wave form is converted into a discontinuous series of discrete numbers. One of the most popular uses for DAT machines is for the musician. It is an excellent way to record your music with digital quality. However, one of the legal issues delaying the release of the DAT recorded was in fact its ability to record digital signals. Most record companies were afraid that the music pirates would get their hands on this technology and use it to produce illegal copies of cd's.
Record companies claim that millions of dollars in sales are lost each year due to pirating.
Thoughts of another technician removing the chip ruled this idea out. This system works with the subcode data. The digital codes on each CD will contain a single bit indicating whether the recording is a copyrighted material. The SCMS will recognize this copyright bit and deny second generation copies. The standard was in fact developed and DAT tapes can be played on different manufacturers DAT Recorders.