1. CDs and DVDs store data digitally as a series of pits and lands representing ones and zeros that are read by a laser beam.
2. The laser beam reflects off the pits and lands at varying intensities which are converted into electrical signals representing the binary data.
3. CDs can store about 650-750 MB of data in this way while DVDs use a shorter wavelength laser and smaller track sizes to store about 30 times more data than a CD.