H.264 uses the latest innovations in video compression technology to provide video quality for the smallest amount of video data. This means sharp, clear video in much smaller files. H.264 offers the same quality as MPEG-2 at a third to half the data rate and up to four times the frame size of MPEG-4 Part 2 at the same data rate.

Fujitsu announced that it had completed the development of the core circuits of a chip that encodes and decodes H.264 video. The company claims that the device will use less than 100 milliwatts to run H.264 content. The circuits are set to be included in battery operated devices like digital cameras and video cameras, multimedia players and also hard drives. Fujitsu says that H.264 encoding and decoding needs 10 times more processing performance than MPEG2 devices.

H.264 has good compression efficiency for a broad range of applications, such as broadcast, DVD, video conferencing, video-on-demand, streaming and multimedia messaging. H.264 delivers excellent quality across a wide operating range, from 3G to HD and everything in between.