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Originally Posted by
noah katz 
I'm surprised no one has mentioned what seems to be a strong similarity to Trinnov, which also aims to reproduce a soundfield, not channels.
Not really the same thing, though, in my understanding.
First, there is no Trinnov encoder. Instead, it relies on comparing the user-selected "ideal" speaker positions for 2.0, 5.1, or 7.1 systems (from a menu) against the actual speaker positions of the system.
If the actual speakers are in the same locations as in the user selected layout menu, the amount of processing Trinnov applies is minimal. As it should be.
If the actual speakers are in non-standard locations, Trinnov will work its magic to represent the original soundfield.
You may say good, instead of mapping the soundfield relative to a static notion of ITU 5.1, let the source bitstream dynamically move those "speakers" in 3D space, and then Trinnov will make it happen for the listener. That brings us back to "there's no encoder." And if you devised one, I'd wager it would look a lot like an object-based system.
So what we're coming down to then is the question of rendering. Object based sounds can be rendered in different ways, such as panning, Ambisonics (or, more generically, high order spherical harmonics), or wave field synthesis. Each of these techniques can be degraded by a poor choice of speaker positions, and to the extent that a Trinnov-like process can mask those imperfections, it could potentially enhance the final performance of these renderers. But my feeble brain cannot see how it could be used instead of them.

Regardless of what may theoretically be possible with Trinnov technology, I think it is fair to say that as it stands today it cannot just slide into a similar role as the other 3D formats already on the table.
[ETA: I wish I would have waited until I saw Sanjay's post. Would have saved me some head scratching!

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As far as adoption, given the paltry number of even 7.1 soundtracks, why would it be expected that filmmakers would be more enthusiastic about Atmos?
5.1-->7.1, modest change. 5.1-->40.1, big change. More fun. More room for artistic expression.