The elements of Bebop: Re-arrangement and re-composition

One of the trademarks of Bebop music is the sometimes sly reworking of well-known songs into newer more intricate versions. This process served a couple of purposes:

1. It was an excellent technical workout for the musicians on familiar material, and
2. It often frustrated the older, established musicians who might know the original version of the song but were unable to grapple with the more complex version.
Here is a classic example of an old standard jazz tune that was rewritten by the bop musicians to challenge and frustrate the less skilled. The original song is called Indiana and the bop version is called Donna Lee

I found two examples that use just saxophone to highlight the diferences...

and now the bebop version called Donna Lee

Do you notice a difference in the way these two saxophonists played the song? Can you think of examples of artists that have reworked other people's music? What are some of the reasons do you feel that reusing familiar material is so prevalent in music and in other aspects of our culture?