Japanese Nihon Keizai Shimbun reports that JVC is about to introduce a new high quality music file compression technology.

JVC's new music compression is supposed to allow downloaded music files to have CD quality. JVC Victor will offer CD tracks for download with the new compression starting October. JVC developed a player software for portable music players to use the new format.
In the article there is no word about how well the technology compresses. Strangely enough the JVC technology is supposed to be compatible with Apple's AAC and Sony's ATRAC format.
More details on Nikkei.net (Subscription). JVC also has XRCD (Extended Resolution CD) on the market for the audiophiles out there.