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On2 Technologies


On2 Technologies Inc.
Type Subsidiary of Google Inc.
Industry video codec technology
Founded Clifton Park, New York
Products TrueMotion S, TrueMotion 2, TrueMotion RT 2.0, VP3, VP4, VP5, TrueMotion VP6, TrueMotion VP7 and VP8
Key people Matthew C. Frost, COO Tim Reusing, GC James Bankoski, Senior VP Paul Wilkins, Senior VP Wayne Boomer, Senior VP J. Allen Kosowsky, COTB
Parent Google
Website www.on2.com

Acquired by Google in February 2010, On2 Technologies was a small publicly traded company which created a series of video codecs called TrueMotion (including TrueMotion S, TrueMotion 2, TrueMotion RT 2.0, TrueMotion VP3,4,5,6,7 and 8.)



  • Open source
  • In late 2001, On2 released their VP3 compression technology into the open-source community including their patents on the technology. The technology lives on in the form of Theora. In May 2010, after being acquired by Google, the VP8 codec was licensed under a BSD license.

  • Flash 8 codec
  • In 2004, On2's VP6 was selected for use as the Macromedia Flash 8 video codec. This apparently stems from a deal made in the second quarter of 2004 with revenue in that quarter of $US 1.4 million for the licensing agreement. In related news, On2 announced on April 5, 2005 that it had acquired the Flix Flash video encoder technology from Wildform, Inc. On2 added support for Flash 8 video output to the Flix 8 product line that they released on September 13, 2005.

  • VP7 alternative to H.264
  • On March 9, 2005, On2 announced a new codec, VP7. On2 claimed that VP7 is superior to the H.264/AVC standard, based on claims of comparative technical capabilities and licensing costs. This claim has been disputed by a developer of x264, a popular H.264 encoder. On August 13, 2007, On2 announced the addition of H.264 support to its On2 Flix product line.

  • Chinese DVD project
  • In late 2003, On2 announced that its VP5 and VP6 codecs were selected by Beijing E-World as a video coding method to be used in a Chinese-developed competitor to the DVD format called the EVD (Enhanced Versatile Disc) format. Then in April 2004, On2 announced that its business relationship with E-World had soured, and that On2 would file multiple breach of contract claims against E-World in arbitration proceedings. The arbitrator reached a conclusion on March 10, 2005, according to SEC filings by On2 on March 14, 2005. The arbitrator dismissed each of On2's claims and ruled that E-World owed nothing to On2 and had not breached the contract. It seems unlikely that On2 will ultimately get any significant payback from the EVD initiative, although some contract relationship remains in effect.

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