Mpeg 3 Decoder

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Overview

Product sourcing insights & recommendations

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MPEG-3 (MP3) Decoder: Market Trends and Product Insights

The term "MPEG-3" is often a misnomer for MPEG-1 Audio Layer III (MP3). While MPEG-3 was originally intended for HDTV, it was abandoned in favor of MPEG-2 extensions. Today, MP3 decoding remains a cornerstone of the global audio codec market, which is evolving toward higher efficiency and spatial audio integration MitMarketresearchfuture.

#### 1. Market Growth and Economic Trends

The global audio codec market, including legacy formats like MP3 and modern standards like AAC and LC3, is characterized by steady expansion:

  • Market Valuation: The market is projected to reach USD 13.72 billion by 2035, growing from USD 8.24 billion in 2024 at a CAGR of 5.68% Marketresearchfuture.
  • Regional Dominance: Asia-Pacific leads with a 37% revenue share, driven by mass-market consumer electronics manufacturing in China and South Korea Marketresearchfuture.
  • Fastest Growing Region: The Middle East and Africa is expected to see the fastest growth (6.38% CAGR) due to heavy investments in 5G broadcast infrastructure Marketresearchfuture.

#### 2. Technical Insights and Emerging Trends

* Efficiency Shift: Modern hardware decoders are highly optimized; decoding a 128kbps stream now requires as little as 18.4–19.2 MIPS (Millions of Instructions Per Second) Analog.

* Next-Gen Codecs: LC3 (Low Complexity Communication Codec) is replacing older standards in Bluetooth LE Audio, offering 30% lower power consumption while maintaining higher quality Marketresearchfuture.

* Neural Audio: AI-powered codecs (e.g., Google’s Lyra) are emerging, capable of delivering high-quality speech at bitrates as low as 3 kbps, which traditional MP3 cannot achieve Marketresearchfuture.

* Automotive Integration: Premium vehicle audio systems are driving demand for spatial audio decoders (e.g., Dolby Atmos), with per-vehicle codec value rising from $4 to over $12 in high-end trims Marketresearchfuture.

#### 3. Product Landscape

Sourcing options for decoding technology range from specialized IC chips to ready-to-use modules:

  • IC Chips: Standard chips like the VS1003B and AU7842 are widely used for car audio and portable MP3 players, with prices as low as $0.12–$2.21 per unit AlibabaAlibaba.
  • Modules: Plug-and-play MP3 Decoder Boards are popular for DIY and light industrial use, often including USB/FM support and remote controllers AlibabaAlibaba.
  • IP Decoders: High-end hardware decoders for broadcast (e.g., H.264/MPEG-TS decoders) support IP streams over UDP/RTP and are priced significantly higher, around $780–$900 Alibaba.

Based on these market trends, you might want to:

Mpeg Audio Codec Ic Chips

Products · 3 lists

QZ Original New MP3 WMA Audio Codec IC Chip LQFP48 VS1003B VS1003B-L

QZ Original New MP3 WMA Audio Codec IC Chip LQFP48 VS1003B VS1003B-L

$1.45-2.214.9(76)
MOQ: 10 pieces
MPEG formatIC type1100+ store reviews34% reorder rate≤2h response time
Shenzhen QZ Industrial Co., Ltd.Shenzhen QZ Industrial Co., Ltd.verified🇨🇳CN8 yrs
Car Audio Mp3 Decoder Chip AU7842 QFP64

Car Audio Mp3 Decoder Chip AU7842 QFP64

$0.12-2.674.9(796)
MOQ: 1 piece
MPEG formatIC type13% reorder rate≤1h response time
Shenzhen Xingweiming Technology Co., Ltd.Shenzhen Xingweiming Technology Co., Ltd.🇨🇳CN1 yr
AC6905A AC6901A AC6904 AC6902 Single Chip MP3 Decoding chip IC

AC6905A AC6901A AC6904 AC6902 Single Chip MP3 Decoding chip IC

$0.10-0.114.6(293)
MOQ: 1 unit
MPEG formatIC type400+ store reviews25% reorder rate≤5h response time
Shenzhen Jiaxinjie Technology Co., Ltd.Shenzhen Jiaxinjie Technology Co., Ltd.🇨🇳CN9 yrs
Waytronic Mini Audio Codec Mp3 Chip WT588F SOP-16 Play Chip IC

Waytronic Mini Audio Codec Mp3 Chip WT588F SOP-16 Play Chip IC

$0.65-0.904.9(612)
MOQ: 50 pieces
MPEG formatIC type200+ store reviews21% reorder rate≤7h response time
Guangzhou Waytronic Electronics Co., Ltd.Guangzhou Waytronic Electronics Co., Ltd.🇨🇳CN18 yrs
VS1053B Original Audio Decoding Chip Provides Technical Support for MP3/WAV/MIDI

VS1053B Original Audio Decoding Chip Provides Technical Support for MP3/WAV/MIDI

$15.0(494)
MOQ: 1 piece
MPEG formatIC type50+ store reviews30% reorder rate≤3h response time
Shenzhen Yixinlian Electronic Technology Co., Ltd.Shenzhen Yixinlian Electronic Technology Co., Ltd.🇨🇳CN4 yrs
PCM2902E SSOP-28 USB Audio Codec Chips for Monitor Audio Automotive IC Integrated Circuits 16 Bit 48 kHz

PCM2902E SSOP-28 USB Audio Codec Chips for Monitor Audio Automotive IC Integrated Circuits 16 Bit 48 kHz

$1-24.9(208)
MOQ: 1 piece
MPEG formatIC type100+ store reviews56% reorder rate≤6h response time
Shenzhen Dannuohong Electronics Co., Ltd.Shenzhen Dannuohong Electronics Co., Ltd.🇨🇳CN4 yrs
Vs1003b Audio Codec Adpcm Midi Mp3 Wma Spi Uart Lqfp48 Ic Chip Vs1003

Vs1003b Audio Codec Adpcm Midi Mp3 Wma Spi Uart Lqfp48 Ic Chip Vs1003

$0.10-0.504.9(244)
MOQ: 10 pieces
MPEG formatIC type500+ store reviews24% reorder rate≤6h response time
Shenzhen King Joining Tech Co., Ltd.Shenzhen King Joining Tech Co., Ltd.🇨🇳CN16 yrs
WM8731SEDS/RV WM8731S WM8731 Audio Codec Chip TSSOP-28 IC

WM8731SEDS/RV WM8731S WM8731 Audio Codec Chip TSSOP-28 IC

$1.604.9(517)
MOQ: 10 pieces
MPEG formatIC type100+ store reviews14% reorder rate≤2h response time
Shenzhen XMS Technology Co., Ltd.Shenzhen XMS Technology Co., Ltd.🇨🇳CN8 yrs
Hot offer Ic chip Wm8960 Audio Codec 2Adc /2 Dac 24-Bit 32-Pin Qfn T/R - Tape And Reel Ic Chip Wm8960cgefl/Rv

Hot offer Ic chip Wm8960 Audio Codec 2Adc /2 Dac 24-Bit 32-Pin Qfn T/R - Tape And Reel Ic Chip Wm8960cgefl/Rv

$0.20-0.994.9(203)
MOQ: 1 piece
MPEG formatIC type17% reorder rate≤2h response time
Shenzhen Huanxin Micro Semiconductor Co., Ltd.Shenzhen Huanxin Micro Semiconductor Co., Ltd.🇨🇳CN1 yr
N9300 Series Sound Playback Chip OEM Manufacturer MP3 Decoding IC Chip Support TF Card USB Drives Music Chip

N9300 Series Sound Playback Chip OEM Manufacturer MP3 Decoding IC Chip Support TF Card USB Drives Music Chip

$0.42-0.624.6(605)
MOQ: 1 set
MPEG formatIC type≤3h response time
Hong Kong Nine Chip Industrial Co., LimitedHong Kong Nine Chip Industrial Co., Limited🇨🇳CN1 yr
PCM3010 IC STEREO AUDIO CODEC 24-SSOP Chip PCM3010DB

PCM3010 IC STEREO AUDIO CODEC 24-SSOP Chip PCM3010DB

$1.77-2.104.8(734)
MOQ: 1 piece
MPEG formatIC type300+ store reviews9% reorder rate≤4h response time
Shenzhen Quanyuantong Electronics Co., Ltd.Shenzhen Quanyuantong Electronics Co., Ltd.verified🇨🇳CN17 yrs
Audio Decoder Ic Chip PCM2702E/2K PCM2702 PCM2702E SSOP28

Audio Decoder Ic Chip PCM2702E/2K PCM2702 PCM2702E SSOP28

$1-54.9(907)
MOQ: 10 pieces
MPEG formatIC type500+ store reviews12% reorder rate≤6h response time
Shenzhen Shiji Chaoyue Electronics Co., Ltd.Shenzhen Shiji Chaoyue Electronics Co., Ltd.🇨🇳CN8 yrs
PCM2912APJTR TQFP-32 Audio Codec with a USB Interface and Mono Input.

PCM2912APJTR TQFP-32 Audio Codec with a USB Interface and Mono Input.

$3.69-4.105.0(490)
MOQ: 1 piece
MPEG formatIC type33% reorder rate≤1h response time
Shenzhen Xintiancheng Electronics Co., Ltd.Shenzhen Xintiancheng Electronics Co., Ltd.🇨🇳CN1 yr
CS43131-CWZR Audio DAC/Codec IC 24-bit High Performance 16-48SOIC For Audio System

CS43131-CWZR Audio DAC/Codec IC 24-bit High Performance 16-48SOIC For Audio System

$0.18-2.155.0(625)
MOQ: 1 piece
MPEG formatIC type60% reorder rate≤3h response time
Shenzhen Xindelong Technology Co., Ltd.Shenzhen Xindelong Technology Co., Ltd.🇨🇳CN2 yrs
New and Original CM6206 CM6206-LX C-Media LQFP-48 Channel Audio Codec USB Audio I/O Controller IC Chip Integrated Circuit

New and Original CM6206 CM6206-LX C-Media LQFP-48 Channel Audio Codec USB Audio I/O Controller IC Chip Integrated Circuit

$4.99-5.994.7(170)
MOQ: 1 piece
MPEG formatIC type50+ store reviews37% reorder rate≤1h response time
Shenzhen Huijiajie Electronics Co., Ltd.Shenzhen Huijiajie Electronics Co., Ltd.🇨🇳CN5 yrs
ES9038Q2M QFN30 Audio Decoding Chip DAC High Performance Stereo Audio IC

ES9038Q2M QFN30 Audio Decoding Chip DAC High Performance Stereo Audio IC

$5.154.7(686)
MOQ: 10 pieces
MPEG formatIC type700+ store reviews9% reorder rate≤2h response time
Shenzhen Jingmaoyuan Electronics Co., Ltd.Shenzhen Jingmaoyuan Electronics Co., Ltd.🇨🇳CN3 yrs
ALC5637Q-GRT ALC5637 Low-power Stereo Audio Codec IC Chips

ALC5637Q-GRT ALC5637 Low-power Stereo Audio Codec IC Chips

$1.754.8(663)
MOQ: 1 piece
MPEG formatIC type800+ store reviews12% reorder rate≤1h response time
Shenzhen Runkexin Electronics Co., Ltd.Shenzhen Runkexin Electronics Co., Ltd.🇨🇳CN1 yr
Brand New Original in Stock Audio Codec IC WM1824BGEDT/R MEGA SOURCE ELEC. LIMITED 3-5 Days in Stock

Brand New Original in Stock Audio Codec IC WM1824BGEDT/R MEGA SOURCE ELEC. LIMITED 3-5 Days in Stock

$0.254.9(613)
MOQ: 100 pieces
MPEG formatIC type27% reorder rate≤3h response time
MEGA SOURCE ELEC. LIMITEDMEGA SOURCE ELEC. LIMITED🇨🇳CN3 yrs
New and Original CM6206 CM6206-LX C-Media LQFP-48 Channel Audio Codec USB Audio I/O Controller IC Chip Integrated Circuit

New and Original CM6206 CM6206-LX C-Media LQFP-48 Channel Audio Codec USB Audio I/O Controller IC Chip Integrated Circuit

$4.99-5.994.4(74)
MOQ: 1 piece
MPEG formatIC type11% reorder rate≤1h response time
Shenzhen Jiasheng Longyuan Electronics Co., Ltd.Shenzhen Jiasheng Longyuan Electronics Co., Ltd.🇨🇳CN5 yrs
SY Chips High Definition Audio CODEC with 10 DAC Channels 7.1 Sound ALC1150-CG

SY Chips High Definition Audio CODEC with 10 DAC Channels 7.1 Sound ALC1150-CG

$0.99-2.994.7(651)
MOQ: 1 piece
MPEG formatIC type600+ store reviews15% reorder rate≤4h response time
Shenzhen Sy Chips Technology Co., Ltd.Shenzhen Sy Chips Technology Co., Ltd.🇨🇳CN8 yrs
CM6206-LX SMT audio codec IC chip Electronic Components CM6206

CM6206-LX SMT audio codec IC chip Electronic Components CM6206

$3.50-7.404.7(223)
MOQ: 1 piece
MPEG formatIC type3800+ store reviews8% reorder rate≤3h response time
Shenzhen Jubaolai Electronics Co., Ltd.Shenzhen Jubaolai Electronics Co., Ltd.🇨🇳CN10 yrs
TLV320AIC3106IRGZR VQFN-48 low-power stereo audio codec chip

TLV320AIC3106IRGZR VQFN-48 low-power stereo audio codec chip

$0.17-0.264.9(87)
MOQ: 1 acre
MPEG formatIC type3% reorder rate≤3h response time
Shenzhen Chipsrsun Technology Co., Ltd.Shenzhen Chipsrsun Technology Co., Ltd.🇨🇳CN1 yr
Brand  Original Tlv320aic3254irhbr QFN-32 Stereo Audio Codec Chip

Brand Original Tlv320aic3254irhbr QFN-32 Stereo Audio Codec Chip

$0.974.8(464)
MOQ: 1 piece
MPEG formatIC type≤3h response time
Shenzhen GM Technology Co., Ltd.Shenzhen GM Technology Co., Ltd.🇨🇳CN2 yrs
USB Sound Card, USB to Coaxial and Optical Fiber, I2S Decoding Chips PCM2707 and PCM2706

USB Sound Card, USB to Coaxial and Optical Fiber, I2S Decoding Chips PCM2707 and PCM2706

$8.50-12.505.0(355)
MOQ: 20 pieces
MPEG formatIC type≤2h response time
Shenzhen Qianruixiang Technology Co., Ltd.Shenzhen Qianruixiang Technology Co., Ltd.🇨🇳CN1 yr
OEM DAT320THM Type-C HiFi Audio Codec Module 384kHz/32bit DAC 100dB SNR Low THD+N -75dB 4.4mm/3.5mm Adapter COMTANG Direct

OEM DAT320THM Type-C HiFi Audio Codec Module 384kHz/32bit DAC 100dB SNR Low THD+N -75dB 4.4mm/3.5mm Adapter COMTANG Direct

$4.134.5(718)
MOQ: 5 units
MPEG formatIC type9% reorder rate≤4h response time
Shenzhen Comtang Technology Co., Ltd.Shenzhen Comtang Technology Co., Ltd.🇨🇳CN1 yr
Car audio mp3 decoder chip AU7842 QFP64

Car audio mp3 decoder chip AU7842 QFP64

$0.30-24.8(436)
MOQ: 10 pieces
MPEG formatIC type700+ store reviews30% reorder rate≤4h response time
Shenzhen Cxcw Electronic Co., Ltd.Shenzhen Cxcw Electronic Co., Ltd.verified🇨🇳CN12 yrs
CS4270-CZZ Consumer Circuits IC CODEC 24BIT 105DB 24TSSOP integrated circuits ic chip CS4270-CZZ

CS4270-CZZ Consumer Circuits IC CODEC 24BIT 105DB 24TSSOP integrated circuits ic chip CS4270-CZZ

$0.015.0(569)
MOQ: 1 piece
MPEG formatIC type100+ store reviews54% reorder rate≤2h response time
Shenzhen E-Tag Industrial Co., Ltd.Shenzhen E-Tag Industrial Co., Ltd.🇨🇳CN7 yrs
IC AUDIO CODEC 20BIT 28SSOP UDA1341TS

IC AUDIO CODEC 20BIT 28SSOP UDA1341TS

$0.55-1.564.9(553)
MOQ: 10 pieces
MPEG formatIC type2000+ store reviews27% reorder rate≤2h response time
Shenzhen Jeking Electronic Corp.Shenzhen Jeking Electronic Corp.verified🇨🇳CN11 yrs
IC AUDIO CODEC MINIDISC 28 SSOP Circuit Integrated Interface In Stock 28 SSOP (0.209", 5.30mm Width) UDA1341TS/N1,512

IC AUDIO CODEC MINIDISC 28 SSOP Circuit Integrated Interface In Stock 28 SSOP (0.209", 5.30mm Width) UDA1341TS/N1,512

$0.46-0.915.0(320)
MOQ: 1 piece
MPEG formatIC type33% reorder rate≤3h response time
UNITE CHANCE CO., LIMITEDUNITE CHANCE CO., LIMITED🇨🇳CN1 yr
IC AUDIO CODEC MINIDISC 28 SSOP Circuit Integrated Interface In Stock 28 SSOP (0.209", 5.30mm Width) UDA1341TS/N1,512

IC AUDIO CODEC MINIDISC 28 SSOP Circuit Integrated Interface In Stock 28 SSOP (0.209", 5.30mm Width) UDA1341TS/N1,512

$0.46-0.914.5(320)
MOQ: 1 piece
MPEG formatIC type
UNITE CHANCE CO., LIMITEDUNITE CHANCE CO., LIMITEDverified🇨🇳CN1 yrs

Sources & References

29 sources cited · Verified industry data & reports

Pay TV Video Encoder Market 2026–2035 | Size, Share & Trends ...

www.marketbusinessinsights.com

This convergence is the most significant strategic trend, as it eliminates redundant infrastructure and simplifies content management across fragmented delivery networks. North America remains the largest regional market, holding approximately 33% of the global share as of 2026. This dominance is supported by a mature industrial base of technology providers and a high concentration of tier-one broadcasters undergoing a transition to ATSC 3.0. The growth trajectory from 2026 to 2035 is projected to accelerate as the industry reaches the midpoint of its IP-migration cycle. Initial growth is moderated by the phasing out of traditional hardware, but the latter half of the decade will see a surge driven by massive infrastructure spending in emerging markets and the widespread replacement of early HEVC systems with VVC-ready platforms. Regulatory factors, such as the mandate for ATSC 3.0 in North America and similar digital terrestrial transitions in Africa and Southeast Asia, act as significant catalysts. Technically, the market scope covers encoders supporting a wide array of mezzanine and distribution formats, including MPEG-2, AVC, HEVC, AV1, and VVC, alongside emerging protocols for IP-based transport such as SRT and SMPTE ST 2110. Geographically, the report tracks revenue and deployment trends across North America, Europe, Asia-Pacific, Latin America, and the Middle East and Africa. Vantage Market Research Vantage Market Research offers market research reports, consulting, consumer surveys, data analytics, industry trends, forecasts, competitor analysis and more. Market Research Re... Sep 25, 2025 108 ... Market Research Re... Jul 18, 2025 272 · Vantage Market Res... Jul 24, 2025 1503 · Market Research Re... Aug 12, 2025 1442 · Market Research Re... Aug 8, 2025 1410 · Market Research Re... Sep 8, 2025 861 · Market Research Re... Jul 18, 2025 857 ... Vantage Market Res... Mar 13, 2026 19

Video Encoders Market Size, Share Analysis and Industry Report - 2034

www.marketsandmarkets.com

- 155) 13.1 INTRODUCTION 13.2 LIMITATIONS 13.3 VIDEO SURVEILLANCE MARKET 13.3.1 VIDEO SURVEILLANCE MARKET, BY SYSTEM 13.3.1.1 Introduction TABLE 109 VIDEO SURVEILLANCE MARKET, BY SYSTEM, 2017–2020 (USD MILLION) TABLE 110 VIDEO SURVEILLANCE MARKET, BY SYSTEM, 2021–2026 (USD MILLION) 13.3.2 ANALOG VIDEO SURVEILLANCE SYSTEMS 13.3.2.1 Mainly consist of analog cameras and DVRs 13.3.3 IP VIDEO SURVEILLANCE SYSTEMS 13.3.3.1 Offer enhanced security and better resolution In April 2022, VITEC announced its latest broadcast-quality openGear (OG) card encoder, the MGW diamond+ OG, a 4k/multichannel HD, HEVC, H.264, and MPEG-2 encoder with SDI and SMPTE-2110 input in an openGear card format. In March 2022, Matrox launched the Monarch EDGE 4K/Multi-HD H.264 webcasting and remote production encoder. It can deliver broadcast-quality video resolutions up to 3840x2160 at 60 fps or quad 1920x1080 at 60 fps. The latest video compression technology, HEVC or H.265, provides more efficiency than previous standards such as MPEG-4 and MPEG-2. Although changing video codecs provide uncertainty in patent licensing terms, bandwidth advantages, , and implementation costs are creating challenges for the market. The increasing cost might affect the overall profitability of end users. Broadcasters might face problems while switching from one video codec to another. For instance, while changing from MPEG-2 to MPEG-4, they must change or upgrade equipment to support MPEG-4 at a significant cost.

Video Encoder Market - Forecast & Industry Analysis

www.mordorintelligence.com

The video encoder market size is expected to grow from USD 2.55 billion in 2025 to USD 2.67 billion in 2026 and is forecast to reach USD 3.33 billion by 2031 at 4.54% CAGR over 2026-2031. The market is valued at USD 2.67 billion in 2026 and is projected to reach USD 3.33 billion by 2031. Note: Market size and forecast figures in this report are generated using Mordor Intelligence’s proprietary estimation framework, updated with the latest available data and insights as of 2026. YouTube’s migration of all ≥480p assets to AV1 eliminated roughly USD 100 million in annual H.264 royalties and delivered 20% bitrate savings, illustrating powerful incentives to adopt open codecs. Alliance for Open Media’s expansion to include Intel, AMD, and ARM ensures silicon-level decoding becomes ubiquitous, mitigating device compatibility risks that stalled earlier transitions.

Decoder Market Size, Development, Growth & Forecast 2033

www.verifiedmarketreports.com

Decoder Market size is estimated to be USD 2.5 Billion in 2024 and is expected to reach USD 5.7 Billion by 2033 at a CAGR of 9.9% from 2026 to 2033. Valued at USD 2.5 billion in 2024, Decoder Market is expected to witness substantial growth to USD 5.7 billion by 2033 at a CAGR of 9.9% from 2026 to 2033. The proliferation of low-cost decoders, especially from non-branded manufacturers, has created a challenge for established brands to maintain their · market position. The complexity of continuously evolving digital broadcasting standards, such as MPEG-4 and HEVC, also requires constant updates and innovation in decoder technologies, which increases development costs for manufacturers. Market Drivers: The growing demand for decoding solutions in smart city projects and transportation systems is driving ... Technological Trends: Advanced decoder technologies, such as AI-powered decoders, are gaining traction in multiple sectors, enhancing

MPEG Video Codec Market Size, SWOT, Competitive Trends & Forecast 2033

www.verifiedmarketreports.com

As digital content consumption rises, the need for efficient video compression technologies like MPEG has become paramount. The market is expected to grow at a healthy pace, with a projected value of USD 11.92 billion by 2026, growing at a compound annual growth rate (CAGR) of 6.5% from 2021 to 2026. MPEG Video Codec Market size was valued at USD 4.5 Billion in 2024 and is forecasted to grow at a CAGR of 6.5% from 2026 to 2033, reaching USD 7.2 Billion by 2033. MPEG Video Codec Market stood at USD 4.5 billion in 2024 and is anticipated to grow significantly, reaching USD 7.2 billion by 2033 at a CAGR of 6.5% from 2026 to 2033. The MPEG Video Codec market is a crucial segment of the global video processing industry, responsible for the encoding, decoding, and compression of digital video files. The growing demand for high-quality video content across various platforms, including streaming services, broadcasting, and video conferencing, is driving significant growth in this market. As of 2023, the global video codec market was valued at approximately $3.3 billion, with projections indicating a growth rate of around 12.5% over the next five years.

Next-Gen Video Codecs Market: Global Industry Analysis and Forecast ...

www.maximizemarketresearch.com

The market size of the Global Next-Gen Video Codecs Market in 2023 was valued at US$ 2.38 Bn. 1. Next-Gen Video Codecs Market Introduction 1.1. Study Assumption and Market Definition 1.2. Scope of the Study 1.3. Executive Summary 2. Next-Gen Video Codecs Market: Dynamics 2.1. Next-Gen Video Codecs Market Trends by Region 2.1.1. North America Next-Gen Video Codecs Market Trends 2.1.2. Europe Next-Gen Video Codecs Market Trends 2.1.3. Asia Pacific Next-Gen Video Codecs Market Trends 2.1.4. Middle East and Africa Next-Gen Video Codecs Market Trends 2.1.5. South America Next-Gen Video Codecs Market Trends 2.2. Drivers: Rising demand for better video experience drives the market The growing popularity of high-definition TV, video distribution on mobile devices, and other multimedia applications, however, creates new demands for standards for video coding. Both MPEG and VCEG have released their next-generation video coding initiative, which could theoretically be either an H.264/AVC extension or a whole new standard, to face new problems that new applications will impose. Depending on the application requirements, HEVC encoders can trade off computational complexity, compression rate, robustness to errors, and encoding delay time. Two of the key features where HEVC was improved compared to H.264/MPEG-4 AVC was support for higher resolution video and improved parallel processing method.