China to develop its own video compression standards

China is making its own foray into developing a movie standard to reduce its dependence on American intellectual property. China will look at replacing the MPEG-4 format with a homegrown Chinese format. This move will save over $400 million US dollars in royalties over the next decade.
Of course the possibility exists that it will save nothing in order to be compatible with video systems in the United States.
Article from eetimes.com

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