The Sony MDS-S38 is a compact MiniDisc deck released in January 1997. It features a similar circuit board and internal components as the MDS-JE500. The device is available in two color variations: black and silver. It lacks support for MiniDisc LP (MDLP), NetMD, and Hi-MD formats. The MDS-S38 operates with ATRAC version 4 and includes standard functions such as music sync recording, time machine, and smart space functionalities. Automatic power-on is supported when a disc is inserted. The product comes with the RM-D8M remote and is compatible with the RM-D10P remote commander. It has RCA input and outputs, along with a digital optical (TOSLINK) connection and a 3.5mm headphone jack. The device measures 280 x 90 x 282.5 mm and has a weight of 2.8 kg. Included on board is an optical pickup type KMS-260A/J1N and a MD mechanism type MDM-3B. The initial launch price was ¥46,000.