Loss of dynamic range has always been a problem with sound recording.

It became seriously noticable with the demise of the 78, when they tried to squeeze thirty minutes of recording onto a roughly three minute format.

Then it took another hit when the 1 - 7/8 ips 1/8 inch casette replaced the 15 ( or 7 1/2) ips 1/4 inch magnetic tape. This set an audio standard which was continued onto CDs, which was further reduced by the use of digital recording which has an inherent square wave buried deep in the format.