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Magnetic tape brought about sweeping changes in both radio and the recording industry. Sound could be recorded, erased and re-recorded on the same tape many times, sounds could be duplicated from tape to tape with only minor loss of quality, and recordings could now be very precisely edited by physically cutting the tape and rejoining it. In August, 1948, Los Angeles-based Capitol Records became the first recording company to use the new process.

Within a few years of the introduction of the first commercial tape recorder, the Ampex 200 model, launched in 1948, American musician-inventor Les Paul had invented the first multitrack tape recorder, bringing about another technical revolution in the recording industry. Tape made possible the first sound recordings totally created by electronic means, opening the way for the bold sonic experiments of the Musique Concrète school and avant garde composers like Karlheinz Stockhausen, which in turn led to the innovative pop music studio recordings of artists such as Frank Zappa, The Beatles and The Beach Boys.

Tape enabled the radio industry for the first time to pre-record  many sections of program content such as advertising, which formerly had to be presented live, and it also enabled the creation and duplication of complex, high-fidelity, long-duration recordings of entire programs. It also, for the first time, allowed broadcasters, regulators and other interested parties to undertake comprehensive logging of radio broadcasts for legislative and commercial purposes, leading to the growth of the  modern media monitoring industry.

Innovations, like multitrack recording and tape echo, enabled radio programs and advertisements to be pre-produced to a level of complexity and sophistication that was previously unattainable and tape also led to significant changes to the pacing of program content, thanks to the introduction of the endless-loop tape cartridge.

An important use of tape recorders is the recording of video. Video cassette recorders differ substantially from audio recorders due to the use of a rotating magnetic head that uses a helical scan over the tape medium. Helical scans increase the relative speed of the tape surface over the head.

While they are primarily used for sound recording, tape machines were also important for data storage before the advent of floppy disks and CDs, and are still used today, although primarily to provide an offline backup to hard disk drives.