Perfectly put!
Although there's also a third option: Autism.
Most people's brains filter out sounds that are irrelevant to what they're currently focusing on. That means that during conversations in a crowded place, for example, their neurological setup allows their perception to let secondary noises and voices fade into the background, while whatever sound or voice they're focusing on remains in the foreground. When listening to music, background noise becomes less pronounced. When they read, most sounds are no longer really perceived at all. Only when something out of the ordinary happens acoustically, their brains let it break though to the front of their perceptions.
In most neurotypical people, this happens automatically with little to no effort.
Some people on the spectrum, however, don't really have the ability to do that. To them, everything their ears pick up ends up being consciously perceived more or less unfiltered. Background noises and voices not relevant to their current conversation remain more or less exactly as loud as the voices they try to focus on. When listening to music, environmental noises remain just as pronounced as they would be without the music. While reading, no sounds fade into the background, they just remain as loud as they always are.
This might be sharing a little too much, but I belong to that second group of people.
It's a blessing, and it's a curse.
It's a blessing, because I'm always aware of what's going on around me. Literally always. You will be hard-pressed to sneak up and startle me, and no matter how noisy it gets inside a car, I more or less always know where other cars are located around me. It's a great "safety feature" to have access to.
But it's also a curse because the amount of energy it takes me to even just halfway decently filter out one voice while listening to a conversation in a crowded place. Half an hour into a lively group conversation at your average echoy American family restaurant and I'll be utterly drained for the rest of the day.
It also means that I'll hear everything in the music. Every detail and every nuance, but also every single flaw that's in the mix, even the tiniest bit of clipping. It all bubbles through to the front of my perception. I think that that's why I'm able to hear that DACs like Yggy OG and Gungnir MB are actually worlds apart in their sound signature. But it also means that a lot of music that's less well produced sounds like nails on a chalk board to me, which is especially true for most mainstream productions.
So, yeah.
There's hearing, there's listening — and then there's Autism.