The storage format used by computers, where information is broken into individual chunks (packets). Digital is in contrast to Analogue which stores information in continuious streams.
Computers store information in binary, using 1s and 0s. Therefore in order to record sound information (which is continuious) the waves have to be broken down into individual chunks.
When the digital signal is played back then the digital technology then ‘fills in the gaps’ to reproduce a continuious waveform. Digital technology allows for the limitation of noise and the ability to manipulate the stored information in far more detailed and complex ways. All the sounds that we use on the computer are digitally stored.