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What is AAC (Advanced Audio Coding)?

Learn the benefits, use cases, and why AAC is widely used in streaming and digital audio today.

By Keira Manifold

April 24th, 2025

What is AAC (Advanced Audio Coding)? | Audio Codec Explained

What is AAC (Advanced Audio Coding)?

Advanced Audio Coding (AAC) is one of the most popular audio compression formats used today — and for good reason. It delivers high-quality sound at lower bitrates, making it ideal for everything from streaming services to digital broadcasts and mobile apps. If you’ve ever listened to music on Apple Music, YouTube, or Spotify, chances are you’ve already experienced AAC without even realizing it.

Why AAC Matters in Today’s Audio Landscape

When it comes to digital audio, quality and efficiency are everything. AAC strikes the perfect balance between the two, offering exceptional audio fidelity while keeping file sizes small. This makes it a favorite among developers, streamers, broadcasters, and even casual listeners.

Unlike older formats like MP3, AAC is designed to handle complex audio — whether it's a live concert stream, a high-energy podcast, or ambient background music. With AAC, the listener hears more detail, less distortion, and a smoother overall experience.

The Evolution of AAC: From CDs to Streaming

AAC was developed in the late 1990s as the successor to MP3, and it’s come a long way since then. Officially standardized by ISO/IEC, AAC became widely adopted across various industries and devices. Today, it's the default audio format for platforms like:

  • Apple Music and iTunes

  • YouTube

  • DAB+ Radio

  • Broadcast TV

  • PlayStation and mobile gaming

  • Various VoIP and video conferencing tools

AAC's broad compatibility and performance have made it a go-to format for audio professionals worldwide.

How AAC Works: A Quick Look Behind the Scenes

AAC compresses audio by eliminating sounds that are either beyond human hearing or masked by louder sounds — a method known as perceptual audio coding. It supports sampling rates up to 96 kHz and multiple channel configurations (from mono to 48-channel surround sound), making it incredibly flexible.

Key Features of AAC

  • Higher audio quality at lower bitrates than MP3

  • Support for multichannel audio (great for surround sound)

  • Low latency, suitable for real-time applications

  • Open standard, widely adopted across platforms

Step-by-Step: How AAC Compresses Audio

  1. Input Analysis
    Detects frequency, amplitude, and stereo information in the audio signal.

  2. Psychoacoustic Modeling
    Removes audio components that are inaudible or masked by louder sounds.

  3. Quantization and Coding
    Converts remaining sound into binary values using transform algorithms.

  4. Bitstream Multiplexing
    Organizes audio data into packets ready for streaming or storage.

  5. Decoding (on the user’s side)
    Reconstructs audio with minimal loss in quality.

AAC vs Other Codecs: What Makes It Different?

Feature

AAC

MP3

Opus

Audio Quality

Excellent at low bitrates

Good at higher bitrates

Very high for speech/music

Bitrate Range

8 kbps – 320 kbps

32 kbps – 320 kbps

6 kbps – 510 kbps

Latency

Medium

Medium

Low (great for real-time)

Compression

More efficient than MP3

Less efficient

Highly efficient

Multichannel Support

Up to 48 channels

Limited

Up to 255 channels

Device Support

Excellent (iOS, Android, etc.)

Widespread but aging

Moderate, growing

Let’s break down the competition:

AAC vs MP3

  • Sound Quality: AAC generally offers better sound quality than MP3 at the same bitrate.

  • Efficiency: AAC delivers more efficient compression, meaning smaller file sizes without sacrificing quality.

  • Adoption: While MP3 is still common, AAC is now the default on many newer platforms.

AAC vs Opus

  • Latency: Opus is better for ultra-low latency needs (e.g., real-time VoIP), but AAC holds its ground for music and broadcast.

  • Versatility: Opus is great for speech + music hybrid, whereas AAC is more music/broadcast-centric.

  • Support: AAC is more universally supported across consumer devices like iPhones, smart TVs, and gaming consoles.

Where AAC Excels: Use Cases and Applications

1. Music Streaming Platforms

AAC’s excellent sound quality at low bitrates makes it perfect for mobile streaming where data usage matters.

2. Broadcasting and DAB+ Radio

AAC powers most modern digital radio broadcasts, offering crisp audio in low-bandwidth environments.

3. Online Video Platforms

YouTube and other video streaming services use AAC to ensure smooth audio delivery across devices.

4. Gaming and Multimedia

Game developers use AAC for immersive in-game audio and minimal storage consumption.

Benefits of AAC for Streaming & OTT Platforms

If you're running an OTT or streaming platform, AAC is a top choice for delivering high-quality audio across devices. Here's why:

  • Cross-device compatibility (Android, iOS, Windows, smart TVs)

  • Minimal buffering due to small file sizes

  • Great user experience with rich, clear audio

  • Supports both live and VOD content

Top Use Cases for AAC Audio

  • Music Streaming — Apple Music, Spotify, Amazon Music

  • Video Platforms — YouTube, Vimeo, OTT streaming apps

  • Broadcasting — DAB+, DVB, Internet radio

  • Gaming — PlayStation, Xbox, and mobile game audio

  • Mobile Devices — iOS, Android, Smart TV

How to Implement AAC in Your Streaming App

For those building a streaming or OTT platform, implementing AAC is straightforward.

Quick Integration Steps

  1. Choose an Encoder
    Use tools like FFmpeg, Adobe Media Encoder, or native encoders in frameworks.

  2. Set Optimal Bitrate

    • Speech: 64–96 kbps

    • Music: 128–192 kbps

    • HD Streams: 256 kbps+

  3. Configure Audio Channels

    • Mono for podcasts

    • Stereo or 5.1 for music/films

  4. Test Across Devices
    Ensure playback compatibility with Android, iOS, Smart TVs, and browsers.

  5. Optimize for Delivery
    Use adaptive bitrate streaming (HLS, DASH) for best performance.

Pros and Cons of AAC (Quick Overview)

Pros

Cons

✅ Superior sound quality

❌ Not fully open-source

✅ Lower file sizes

❌ Slightly higher CPU usage

✅ Wide device compatibility

❌ Royalty/license in some cases

✅ Ideal for streaming


Future-Proofing Audio with AAC

Even as newer codecs like Opus or EVS continue to rise, AAC remains a core part of the audio ecosystem. Its balance of quality, efficiency, and compatibility ensures that it's not going away anytime soon. For platforms prioritizing broad device support and superior sound, AAC is still a winner.

Final Thoughts

AAC (Advanced Audio Coding) continues to prove its worth in the digital age. Whether you're a streamer, content creator, or platform owner, understanding and implementing AAC can help deliver a more polished and professional audio experience. And in an era where user expectations are higher than ever, audio quality can be the difference between keeping a viewer — or losing them.