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FLAC, or Free Lossless Audio Codec, is considered better than other audio formats like MP3 because it is a lossless compression format. This means that it reduces the file size without sacrificing any audio data, resulting in a compressed file that can be restored to its original, uncompressed state without any loss of information. In comparison, formats like MP3 use lossy compression, which permanently discards certain audio information to achieve smaller file sizes, resulting in a reduced audio quality that cannot be restored. Additionally, FLAC has a higher sample rate and bit depth, allowing for higher quality audio.