Obviously, it's name seems to imply that it can be used for transcoding. By this, I assume that it would be "safe" (or, at least, "safe enough") to use if I later used this file as the source file (as opposed to going back to the original CD) if I wanted to convert it to a lower bitrate MP4 file.
But, what about using it as a source file if I wanted to convert it to a lower bitrate MP3 file for use for burning a MP3 compilation disc, etc? My understanding, from what I learned through these excellent forums here at hydrogenaudio, is that transcoding from one lossy format to another lossy format (or even transcoding to the same lossy format but just to a lower bitrate) is a big NO-NO, regardless of the bitrate of the lossy file you are using as the source file when transcoding. The reason, obviously, is due to the fact that noise/artifacts will be increased and/or effect the quality significantly more than if you had went back to the original CD as the source, which makes perfect sense.
But is there something special about Nero's "for transcoding" profile that makes it "safe" or, at least, significantly "safer" than one would normally expect based on what we know about the whole way lossy encoding normally works? Is it doing something significantly different/special in the way it is handling noise/artifacts that makes it inherently safer than it would normally be as opposed to, let's say, you had just used a ridiculus CBR of 320 or something using "normal" algorithms?
I guess the best way to really test this would be to find a sample where I wouldn't be able to tell the difference between, let's say, LAME alt-preset standard and the original CD when encoded to MP3 right from the original CD but where I would be able to tell the difference between LAME aps and the original CD when encoded to MP4 ("for transcoding") from the original CD then trancoded again from MP4 to MP3 aps. Of course, finding such a sample is usually easier said than done. So if anyone knows of a sample which does a good job of illustrating more noticable quality loss during transcoding and/or knows something that the "for transcoding" profile does that makes it "special", I'd look forward to hearing about it.
On a side note, since listening test are pretty useless at these very high bitrates, I had resorted to actually "looking" at the sound (after converting back to WAVE from MP4 "for transcoding") using Nero's wave editor and comparing the spectrogram, wavelet, etc. (although I know that this is not a good way to "test" and does not accurately reflect the true "quality"). But I was quite surprised at how similar the graphs looked between the original WAVE and the MP4 "for transcoding", even for very high frequencies. In some cases it was downright scary and certainly "looked" much more accurate than anything else I've seen before. So maybe there is something special going on here with that profile? But, since you really can't go by how the graphs look, I'm not putting much weight in it at all.