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Posts Tagged: "VVC"

HEVC Royalty Stacking and Uncertainty Threaten VVC Adoption

he Versatile Video Coding standard (VVC), finalized in 2020, is now entering a fragmented, multi-codec market. However, VVC’s adoption is uncertain in the face of competitive video solutions that are subject to lower or no royalties. VVC owes thanks for this to the excessive royalties and licensing uncertainties that continue to plague VVC’s predecessor, HEVC. Over the past five years, the formation of multiple pools for HEVC has led to licensing inefficiencies and royalty stacking that have hampered HEVC’s adoption. This has prompted the video industry to develop competitive, lower cost solutions, such as the Alliance for Open Media’s Advance Video 1 codec (AV1) and MPEG’s Essential Video Codec (EVC) and Low Complexity Enhancement Video Coding (LCEVC) standards. These video solutions, together with the already existing AVC and HEVC standards, provide a lot of choices to device manufacturers, streaming platforms, and content owners. VVC’s chances of success are further weakened by the dramatic decreases in broadband download, shown below, and video storage costs, which negate any gains in compression efficiency generated by VVC for most uses.

The New Standard: Licensing Scenarios and Patented Technologies Relevant to Versatile Video Coding

Versatile video coding (VVC), also known as Future Video Coding (FVC) or H.266, is a video compression standard that was released on July 6 and is being positioned as the successor to High Efficiency Video Coding (HEVC or H.265). CPA Global has reviewed the key aspects of the standard and factors which could impact its licensing and adoption and we have identified and analyzed the key patented technologies that have a possibility of being relevant to the VVC standard. The standard was in the process of being finalized at the time we conducted our analysis and we have therefore referred to Draft 8 of VVC, which was approved by JVET in the Brussels meeting from January 7-17, 2020.