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Google Acquiring VP3 Developer On2 Technologies

R.Mo_Robert writes "BetaNews is reporting that Google is acquiring On2, the video codec company and original developers of the VP3 codec from which Theora is derived. The article suggests that this may mean Google is backing Ogg Theora as the HTML5 video standard, but this is likely not the case--with Theora already being open-source and On2 having disclaimed all rights and patents, there is no reason Google should have needed to do this to push Theora. You may recall from some time back that HTML5 no longer specifies which video codec(s) a browser should support due to there being, unfortunately, no suitable codec at this time. But Google (known for supporting H.264) practically owns Web video with YouTube in most people's minds, so their influence could really swing the future of HTML5 video either way. It remains to be seen whether Google's acquisition of On2 has any bearing on their plans for video on the Web."

15 of 133 comments (clear)

  1. VP3 is old by AKAImBatman · · Score: 4, Interesting

    Theora was based on one of On2's earliest codecs. VP6 & VP7 have been far more successful and are even used as the Flash video codecs. If Google is acquiring On2, it could mean that they're looking to open up the formats that have defined Flash as the media player of choice.

    1. Re:VP3 is old by FooAtWFU · · Score: 3, Insightful

      Even if they don't want to open them up, you can imagine that they'd rather not be utterly dependent on Adobe Flash to deliver their YouTube content. Owning VP7 (and VP8/VP9/VP1234567 and whatnot) can't hurt.

      --
      The World Wide Web is dying. Soon, we shall have only the Internet.
  2. Re:So what is the reason for this? by Neon+Spiral+Injector · · Score: 5, Informative

    No speculation, I submitted this story also, with a quote from Google's Blog:

    Because we spend a lot of time working to make the overall web experience better for users, we think that video compression technology should be a part of the web platform. To that end, we're happy to announce today that we've signed a deal to acquire On2 Technologies, a leading creator of high-quality video compression technology.

    So it doesn't remain to be seen whether Google's acquisition of On2 has any bearing on their plans for video on the Web.

  3. Re:So what is the reason for this? by 0racle · · Score: 4, Funny

    "Why are we going to acquire this company Google?"

    "For the same reason we acquire every other company, to try and take over the world!"

    --
    "I use a Mac because I'm just better than you are."
  4. No suitable codec? by nvrrobx · · Score: 3, Insightful

    You may recall from some time back that HTML5 no longer specifies which video codec(s) a browser should support due to there being, unfortunately, no suitable codec at this time.

    That's a bit misleading. There are several suitable codecs. The problem is the major players involved with their "Not Invented Here" mentalities.

    1. Re:No suitable codec? by gr8_phk · · Score: 4, Insightful

      There are several suitable codecs. The problem is the major players involved with their "Not Invented Here" mentalities.

      Actually the problem isn't "NOT Invented Here" it's "Invented Here - please pay us". So Theora doesn't have the quality, but H.264 is patented. Neither is suitable to all interests for those reasons. Those were the leading contenders, others suffer from the same issues. So now that Google owns a good codec, clearly they'll use it. The question is weather they'll let others use it and on what terms. IMHO they should allow anyone to use it for free. Adding yet another proprietary codec to the web would be detrimental, while the upside of codec licensing is probably small potatoes to Google. Freeing a good codec would mean easy access to Google video for everyone and not-as-easy access to MS and Apple.

    2. Re:No suitable codec? by nine-times · · Score: 3, Insightful

      Well I don't think that's quite right, either. You have to choose between a poorer-quality codec with no hardware support and a widely-supported codec with better quality but requires a licensing fee.

  5. Re:Chrome, HTML5 disaster coming by Shatrat · · Score: 4, Insightful
    I would predict:
    Chrome supports anything it can legally
    Firefox supports anything it can legally
    Safari supports anything it can legally
    IE tries using only WMV for a little while, then opens up to other formats to slow the exodus.

    I could see Google and Apple using their websites to push one codec or another, but I think they want their browsers to be as capable as possible.

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  6. Used by Youtube by magister159 · · Score: 3, Insightful

    When I was researching creating my own video upload site I contacted On2 for information about licensing their flash video encoder. They claimed that "All major user submitted flash websites used their encoder", I assumed they were hinting at YouTube. Knowing this, an acquisition seems like a smart decision.

    They're already buying the milk. Might as well just pay for the cow.

    1. Re:Used by Youtube by kill-1 · · Score: 3, Informative

      YouTube has never used the VP6 codec.

  7. Google wanted VP8 because it is a great ARM codec by Anonymous Coward · · Score: 3, Informative

    VP8 was designed to deal with ARM chips and we know that Google Chrome OS will run on ARM chips. Why isn't this being connected in reports? Tech journalists are incompetent.

  8. FFmpeg support by DarkHelmet · · Score: 3, Interesting

    As a developer using FFmpeg, I run into problems with our clients trying to encode / decode VP6 and VP7. I'm hoping that Google will subsequently offer open source implementations of these. It will make my life a whole lot easier.

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    /^[A-Z0-9._%+-]+@[A-Z0-9.-]+\.[A-Z]{2,4}$/i
  9. Why Google is doing this by steveha · · Score: 3, Insightful

    Google can now use On2 codecs such as VP8 in YouTube, for free. No more royalties. But the royalties are not that expensive so this isn't likely a big deal for them. (Google could save more money by using smarter settings on their H.264 encoder.)

    Do you think Google will seriously try to make money by selling codecs? I don't. $100 million is small change to Google, and if that's all it cost to buy On2, then the On2 revenue stream must be trivial by Google's standards.

    So, Google won't save much money and won't make much money by buying On2. I think they are up to something else.

    What I think is more interesting is the possibility that Google will give On2's latest technology to the Theora guys. Just as Sun started giving away OpenOffice.org after buying StarOffice, it's likely that Google will give away some or all of the On2 technology.

    Despite being based on technology that is nearly a decade old, Theora is already fairly competitive for web video. (Theora is better than H.263, which has actually been used for years, so it's difficult to argue that Theora is not usable for web video.) Now imagine that Theora gets the best technology bits from a modern On2 codec, and integrates those, such that Theora really is as good as H.264, or even better.

    Now imagine that this improved Theora is bundled with Google Chrome and Firefox, bundled with Android, and bundled with Google Chrome OS. Within a few years, Theora could become firmly established everywhere as a baseline standard that anyone can use.

    Google likes things that make it easier for Google's customers to use Google's services. They like their customers not being locked into proprietary technologies not owned by Google. It will be impossible for Google to take the market away from H.264, but it is very possible that they could make sure their customers can always easily access their services.

    Note that this scenario utterly depends on the new Theora being free software. Google could try to sell a proprietary On2 codec and gain a significant market share; well, if they try it, all I can say is "good luck with that." It's hard to push out an established standard; to do it, you need to be significantly better, not just a little bit better. Better technology, with Google behind it, completely free (and with no need to even keep track of how many codecs you ship out) might succeed.

    steveha

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    lf(1): it's like ls(1) but sorts filenames by extension, tersely
  10. Re:Google probably wants the engineering taltent. by nine-times · · Score: 5, Insightful

    Yeah, it's likely that they want the company's IP, too. Go back and look at the whole HTML 5 and Theora debate. Apparently Google is paying some kind of licensing fee for h264 for both YouTube and Chrome, probably for Android and ChromeOS too if they're providing support. Theora is an open source version of On2's codec that is both old and doesn't have any hardware support.

    I don't think it's too much of a stretch to guess that Google wants to open up On2's most recent codecs and try to push other companies to support it. That way they could use the same video formats for all their products without paying additional licensing fees. Plus, they can move YouTube to using HTML5's "video" tag without having to keep a Theora copy to support Firefox/Linux and a h264 copy to support Safari/iPods/iPhones/AppleTVs. Think of what they'll save on transcoding and storage.

  11. Re:Chrome, HTML5 disaster coming by ianare · · Score: 4, Informative

    No, apple has stated they have no intention of supporting Ogg.

    FTFA

    Apple is the only vendor that will not be supporting Ogg.

    MS is out of the debate because they will not be supporting <video> at all.