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Proposed MPEG-4 licensing raises anger

2 February 2002 7:35 by Petteri "dRD" Pyyny

MPEG LA, a body that provides joint licenses for MPEG-2 (used in DVDs, digital TV broadcasts, etc) technology has proposed a new licensing model for MPEG-4 (used in streamig video apps and is also the core of DivX and WMV video formats) video technology. MPEG LA's licenses cover various companies' patents -- MPEG LA's idea is to be a one place where company can license all the required patents to use in company's products, such as MPEG-2 decoders.

The new proposed MPEG-4 pricing (at least for decoders) would be cheaper than MPEG-2's price, but the proposed "use fee" where service providers would pay licensing fees based on the time of the streamed/encoded content, has raised concerns among the content providers and ISPs.

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Related articles:

  • MPEG-4 licensing details released (27 November 2002)
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  • MPEG-4 licensing deal finalized (16 July 2002)
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  • On2 claims joint MPEG-4 licensing is anti-competitive (10 April 2002)
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  • A step closer to a joint licensing for MPEG-4 (9 July 2001)
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