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MPEG Founder Says the MPEG Business Model Is Broken

theweatherelectric writes: Leonardo Chiariglione, the founder and chairman of MPEG, argues on his blog that the current MPEG business model is broken. He writes, “Thanks to [MPEG’s] ‘business model’ that can be simply described as: produce standards having the best performance as a goal, irrespective of the IPR involved. Because MPEG standards are the best in the market and have an international standard status, manufacturers/service providers get a global market of digital media products, services and applications, and end users can seamless communicate with billions of people and access millions of services. Patent holders who allow use of their patents get hefty royalties with which they can develop new technologies for the next generation of MPEG standards. A virtuous cycle everybody benefits from.” But, he argues, the MPEG type is now in disaster as a result of the coming near near AV1 video layout from the Alliance for Open Media signifies that “everyone realizes that the outdated MPEG trade type is broke, all the investments (jointly loads of tens of millions USD) made via the trade for the new video codec [HEVC] will move up in smoke and AOM’s royalty loose type will unfold to different trade segments as smartly.” Chiariglione is going on to provide an explanation for what may also be completed: “The first motion is to introduce what I name ‘fractional choices.’ ISO envisages two sorts of licensing: Option 1, i.e. royalty loose and Option 2, i.e. FRAND, which is taken to imply ‘with undetermined license.’ We may introduce fractional choices in the sense proposer may point out that the generation be assigned to a particularly known profile with an ‘trade license’ (outlined outdoor MPEG) that doesn’t comprise financial values. For example, one such license may well be ‘no rate’ (i.e. Option 1), any other may well be focused to the OTT marketplace and so forth.”

“The 2d motion, now not supposed to be selection to the first, is to streamline the MPEG same old building procedure. Within this a primary function is to expand coding gear with ‘transparent possession,’ not like as of late’s gear which might be frequently the results of contributions with most likely very other weights. A 2d function isn’t to outline profiles in MPEG. A 3rd function may well be to embed in the same old the capacity to change coding gear off and on.”

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