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MPEG LA moves on VVC video licensing

MPEG LA moves on VVC video licensing

Business news |
By Nick Flaherty



MPEG LA has reduced the cost of licensing the latest video coding technology, Versatile Video Coding, or VVC and H.266.

The licensing of VVC has been subject to industry division with two separate groups licensing essential patents. MPEG LA says the measures bring its pool license, introduced to the market on January 27, 2022, “into conformity with market realities that will free implementers to invest in VVC adoption.”

The first move is a waiver of royalties for software codecs that are standalone, not in or with hardware. Products to which the waiver applies will still benefit from coverage as licensed products under the VVC License.

The group is also offering a 25% discount on VVC royalties for a Licensee that also has a patent licenses for the previous generations of codec, AVC and HEVC.

“We congratulate the VVC patent owners for their understanding and foresight in adopting these initiatives,” said Larry Horn, President and CEO of MPEG LA.  “Investments in new e-commerce and advertiser supported services that utilize standalone software will lead the adoption of next generation video and these initiatives will accommodate it. 

“In addition, they provide a pathway to reducing the cost of incorporating next generation video coding technology in devices that include legacy coding technologies,” he said.

This is an acknowledgement that the battle over licensing has held back development of the industry.

“In over 25 years as the world’s market leader in digital video standards licensing, MPEG LA respects that decisions to adopt new video standards are for the market to make based on technical, economic and other factors,” said Horn.

“The market doesn’t build business models around licensing terms.  It builds business models to generate new products that enhance the quality of life, and licensing terms must work in concert with rather than as an obstacle to their adoption.”

www.mpegla.com/programs/vvc/license-agreement/

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