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The *ogg Format was designed to replace the *MP3 format. Fraunhofer, the creator of the *mp3 format, was supposededly going to start collecting royalties for the usage of mp3's (Though I don't know how he could possibly do it). Independant programers got together and made *ogg's to replace the *mp3's so that no one will be forced to pay these royalties. The *ogg format is supposed to be free for anyone to change or add to it; while MP3 is not (Open source, if you will).
The *ogg format is designed (in theory) to reduce the size of songs by varying the bitrate of the encoding. But the *ogg format never caught on, and programmers never developed it to the point where it was substantially smaller than the *mp3.
One should also note that by encoding your *mp3's into *ogg's you will lose some sound quality. Everytime you convert a song into another format you will lose "some" quality. ie. From your CD; to *wav on your harddrive; from *wav to *mp3; and from *mp3 to *ogg. If you really want *ogg files and don't want to sacrafice too much quality, you should convert your tunes to .ogg format directly from it's source (CD or vinyl, whatever the case maybe).
Winamp 2.81 has all the plug-ins you need to convert *mp3's, *ogg's, *wav's, *wma's, etc. If you need Fraunhofer's PROFFESSIONAL version of his MP3 codec, let me know.
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