Latte macchiato literally means stained milk. This refers to the method of preparation, wherein the milk gets "stained" by the addition of espresso. It differs significantly from caffè latte firstly in that espresso is added to milk (rather than milk to espresso), secondly that it features more foam, rather than simply hot milk, thirdly in that often only ½ (or less) of an espresso shot is used, and fourthly in that it is often a "layered" drink, rather than being mixed as in a caffè latte. Simply, in a caffè latte, the emphasis is on the coffee, while in a latte macchiato, the emphasis is on the milk.
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