Here's a YouTube video that demonstrates this feature:
https://www.youtube.com/watch?v=l4UsVqnMRAA
I've converted my music collection from CDs to MP3s and kept the original CDs for legal reasons. Despite the claims of being durable, some of the older CDs no longer play. However, PC software can attempt to extract the songs multiple times, increasing the chances of success.
Ripping CDs on a PC offers higher quality and faster conversion, often with the added bonus of downloading album art. I typically convert at 320 Kbps, though your Honda might have used a lower bitrate to accommodate more songs on the hard drive.
Additionally, many cars support playing music directly from a USB stick and it is nice to see the album art. It all depends on how good the audio player it.
Newer phones have limited storage, so placing a music collection might an issue. Newer phones don't have memory card slots....
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