Digital data (such as audio and video) needs to be compressed (encoded) before transmission and decompressed (decoded) before playback. The encoding and decoding is done by a program called a 'Codec'. Each media file format requires a codec. VLC media player supports many codecs and hence it can play almost any media file. If you use another media player then it would be a good idea to download and install the K-Lite Codec Pack, which is a library of most codecs.
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