ACR Question

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Edit My Images
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A quick question hopefully. When adjusting RAW files in ACR 4.3 the details of the last edit are saved so that when you open the RAW file again the last edit settings are displayed. Bridge also has these details and diplays the thumbnail with these setting applied.

Are these settings written to the RAW file or are they saved in a database similar to that used by lightroom?
 
Neither, they're saved as a XMP file alongside the image. Lightroom has an option to create these files as well so that files it edits can be maintained in bridge and ACR and you can get LR to read the XMP file to refresh any file that's been edited outside of LR.
 
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