The MC33110 contains two variable gain circuits configured for compressing and expanding the dynamic range of an audio signal. One circuit is configured as an expander, while the other circuit can be configured as a compressor or expander. Each circuit has a full wave rectifier to provide average value information to a variable gain cell located in either the input stage or the feedback path. An internal, temperature stable bandgap reference provides the necessary precision voltages and currents required. The MC33110 will operate from a supply voltage of 2.1 to 7.0 V, over a temperature range of 40 to 85C. The device is designed to accommodate an 80 dB dynamic range from 60 dB to 20 dB, referenced to 100 mVrms. Applications include cordless telephone, CB, walkietalkie, most voice RF links, and any application where the signaltonoise ratio can be improved by reducing the transmitted dynamic range. Other applications include speakerphone and voice activated intercom, dictating machine, standard telephone, etc.