The .mp3 file format is an audio compression format introduced in 1989 that allows for smaller file sizes with little perceived quality loss. It was developed by the Moving Picture Experts Group and Fraunhofer Institute. While an open standard, MP3 software requires licensing fees. MP3 files are commonly used on the web and portable media players due to their smaller size compared to uncompressed formats. However, MP3 is a lossy format and not suitable for long-term preservation.