Abstract: The present invention provides a method for digital signal processing, referred to as sample-estimate-hold signal reconstruction, which provides a method of reconstructing output signals more representative of the original input analog signal than the conventional signal processing procedures used in D/A conversion, referred to as sample-hold signal reconstruction. The method uses the history of the analog signal being reconstructed from its digitized form to produce output values which reduce the absolute difference between the integral of the actual signal and the integral of its digital representation over local intervals in the range of the signal. The method is applicable to a wide range of signal processing applications including force-reflection systems, audio and data compression to mention just a few.