Binaural fusion or binaural integration is a cognitive process that involves the "fusion" of different auditory information presented binaurally, or to each ear. In humans, this process is essential in understanding speech as one ear may pick up more information about the speech stimuli than the other.
The process of binaural fusion is important for computing the location of sound sources in the horizontal plane (sound localization), and it is important for sound segregation. Sound segregation refers the ability to identify acoustic components from one or more sound sources. The binaural auditory system is highly dynamic and capable of rapidly adjusting tuning properties depending on the context in which sounds are heard. Each eardrum moves one-dimensionally; the auditory brain analyzes and compares movements of both eardrums to extract physical cues and synthesize auditory objects.
When stimulation from a sound reaches the ear, the eardrum deflects in a mechanical fashion, and the three middle ear bones (ossicles) transmit the mechanical signal to the cochlea, where hair cells transform the mechanical signal into an electrical signal. The auditory nerve, also called the cochlear nerve, then transmits action potentials to the central auditory nervous system.
In binaural fusion, inputs from both ears integrate and fuse to create a complete auditory picture at the brainstem. Therefore, the signals sent to the central auditory nervous system are representative of this complete picture, integrated information from both ears instead of a single ear.
The binaural squelch effect is a result of nuclei of the brainstem processing timing, amplitude, and spectral differences between the two ears. Sounds are integrated and then separated into auditory objects. For this effect to take place, neural integration from both sides is required.