As well as some similarities, there are a number of differences between MPEG-4 and the H.263 bitstream syntax. The inclusion of a video transcoder is proposed to achieve interoperability between the two video standards. This novel transcoding algorithm is proved to give highly improved service quality while reducing the complexity and the time delay of conventional cascaded decoding/re-encoding processes.
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http://iet.metastore.ingenta.com/content/journals/10.1049/el_19990594
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