Recorded over six weeks in late 1969, the album showcases Nilsson's voice multi-tracked in layers of tone and harmony.

Years later, Nilsson told Paul Zollo that he was in awe of Newman writing so many songs, ones he thought were better than his own.

On the song "Cowboy", Nilsson used electronic harpsichord to bring in a different concluding theme, quoting John Barry's theme from the film Midnight Cowboy, an inside joke that referenced Fred Neil's "Everybody's Talkin'" from the same film, a major success for Nilsson earlier that year.

The cover art was drawn by Dean Torrence; his sepia tone scene depicted Nilsson driving an old American car through the countryside with Newman in the back seat.

[2] The weekly magazine Cue in New York praised the artistry saying that "Nilsson was dealing with material as powerful as his own, but was free to concentrate entirely on his gifts as a performer.

[5] Here Comes Inspiration, a 1974 album by Paul Williams, begins with a 54-second track called "Nilsson Sings Newman".

In 1993, Newman prepared to record an entire album of Nilsson songs, a returning of the favor 25 years later.

To leave room for participation by other artists, Newman sang only one song, "Remember (Christmas)", a sad and dreamy tune which opened the album.

In 2000, Ben Wener of the Orange County Register wrote that "Newman's sly, dramatically structured impressionistic pop was ideally suited for Nilsson's theatrical tone ...

"[2] Artists who have expressed a fondness for the album include Rufus Wainwright,[2] Joanna Newsom,[11] Ron Sexsmith,[2] Jellyfish,[2] Adrian Belew,[2] and Shane Tutmarc.

"[3] The 2021 Weezer album OK Human was heavily influenced by Nilsson Sings Newman [13] All tracks are written by Randy NewmanThe credits give "special thanks to George Tipton and Lenny Waronker".