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The compact disc is an evolution of LaserDisc technology, where a focused laser beam is used that enables the high information density required for high-quality digital audio signals. Prototypes were developed by Philips and Sony independently in the late 1970s. Although originally dismissed by Philips Research management as a trivial pursuit, the CD became the primary focus for Philips as the LaserDisc format struggled. In 1979, Sony and Philips set up a joint task force of engineers to design a new digital audio disc. After a year of experimentation and discussion, the Red Book CD-DA standard was published in 1980. After their commercial release in 1982, compact discs and their players were extremely popular. Despite costing up to $1,000, over 400,000 CD players were sold in the United States between 1983 and 1984. By 1988, CD sales in the United States surpassed those of vinyl LPs, and by 1992 CD sales surpassed those of prerecorded music cassette tapes. The success of the compact disc has been credited to the cooperation between Philips and Sony, which together agreed upon and developed compatible hardware. The unified design of the compact disc allowed consumers to purchase any disc or player from any company, and allowed the CD to dominate the at-home music market unchallenged.

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