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Three dimensional acoustic entertainment enables the listener to experience sounds emanating from all around them, rather than being limited to the space between a pair of stereo speakers. It provides the artist with an enhanced sonic pallet to place sound sources in three dimensional space, as well as potential for a more realistic music reproduction experience. With the popularity of the Digital Versatile Disc (DVD), the technology successfully migrated from the movie theater into the “home theater”. The multichannel replacements for the audio CD (DVD-Audio and Super Audio CD) are enhancing the advancement into the automotive space. Automotive interiors are readymade for multichannel reproduction, but the automotive environment offers some challenges as well. This paper will discuss the market and technical potential for automotive applications of three dimensional sound, matters to take into account, media choices, distribution considerations and a look toward the future.