There are three types of ACM driver:
Codecs convert one audio format type to another format type, typically, a compressed format to an uncompressed format. A codec can convert a compressed format, such as MS-ADPCM, to an uncompressed format, such as PCM, which most audio hardware can play directly.
Converters change one variety of a format to another variety of the same format. For example, a converter can convert a PCM audio stream sampled at 44 kHz to a PCM audio stream sampled at 11 kHz.
Filters modify audio data without changing the format of the data. Filters generally are used to add some sort of audio effect to an audio stream. Tasks such as graphic equalization or adding an echo to an audio stream are appropriate for filters.