Actually digital recordings predate the Ry Cooder release, though it is one of the early ones.
I checked in my vinyl library and the earliest releases I could remember were the Denon PCM recordings of the mid-70's. I've got about a dozen or fifteen classical releases of the OX lettered series that date to early 1976. I picked these up at a flea market in Florida when we were there a few years ago. According to the liner notes, these were recorded at 14 bits/48kHz onto 2" tape running at 38cm/sec. As I remember they sounded OK(ish) considering they were obviously a first generation issue of new technology.


The newer digital remasters are
significantly better sounding. If you want to try a cheap one that sounds extremely good get Joe Jackson's Body and Soul (1984). I've also got a number of new-new releases that are extremely good sounding. The Cream Reunion at Royal Albert Hall box set is absolutely stunning....but then again, Stan Ricker mastered it
For those who haven't heard a recent Stan Ricker mastering job, you
need to pick one up. Grab an album that he has done sometime in the last three or four years (anything post Plas Johnson on the Pure Audiophile label). The differences in sound between his work and the "other guys" is
more than dramatic. Stan uses the most resolving cutting head in the industry. If I remember correctly, Stan said it was a Neumann that was heavily modified by a guy in New York. It is also the only one in existence as of the last time I talked to him.