TOSLINK is a standardized optical fiber connection system. Its most common use is in consumer audio equipment (via a "digital optical" socket), where it carries a digital audio stream between components such as MiniDisc and CD players and DAT recorders. TOSLINK may use inexpensive 1 mm plastic optical fiber or it can use higher quality multi-strand plastic optical fibers or even quartz glass optical fibers depending on the desired bandwidth and application.
The real benefit to optical fiber for audio is that it is not susceptible to line noise or other electromagnetic phenomena.