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Effect of compiling from source on already installed applications

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http://unix.stackexchange.com – I use Ubuntu 12.04 and say I have installed package x from the repository (with all its dependencies) at version 1.7 But I need some functionality that is only available in version 1.8, so I download the source tar and compile it: ./configure make make install Does this overwrite the existing 1.7 binaries? If the existing binaries are overwritten, does the package manager reflect the new version (1.8) and can package x be updated by the package manager in the future? If package y has a dependency of package x 1.8 - will it be satisfied? I have been trying to find a good source (HowTos)