Inside the microphone, the diaphragm (much smaller than you'd find in a loudspeaker and usually made of very thin plastic) moves back and forth when the sound waves hit it. The coil, attached to the diaphragm, moves back and forth as well. The permanent magnet produces a magnetic field that cuts through the coil.
Who makes it?
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Yamaha and many other companies make microphones. The first microphone was made for a phone.