Technology / Computers / COder-DECoder (Codec): 1) Short for Compressor/Decompressor. This technology is used for compressing and decompressing data. Codecs are widely used in both hardware and software. A few examples of codecs are: Cinepak, Indeo and MPEG. 2) Also stands for Coder/Decoder in the telecommunications field. This is a device that encodes or decodes a signal. A common use for this device would be in telephone companies digital and analog networks. It is used to convert binary signals to analog signals. 3) The transformation of a binary value into a voltage that can be transmitted over a wire.