Overview
Ambisonics is a full-sphere surround sound format: in addition to the horizontal plane, it covers sound sources above and below the listener.
Unlike some other multichannel surround formats, its transmission channels do not carry speaker signals. Instead, they contain a speaker-independent representation of a sound field called B-format, which is then decoded to the listener's speaker setup. This extra step allows the producer to think in terms of source directions rather than loudspeaker positions, and offers the listener a considerable degree of flexibility as to the layout and number of speakers used for playback.
Ambisonics was developed in the UK in the 1970s under the auspices of the British National Research Development Corporation.
Despite its solid technical foundation and many advantages, Ambisonics had not until recently been a commercial success, and survived only in niche applications and among recording enthusiasts.
From Wikipedia (CC BY-SA 4.0).