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Chronicles

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First Look: H.264 and VP8 Compared

VP8 is now free, but if the quality is substandard, who cares?  Well, it turns out that the quality isn't substandard, so that's not an issue, but neither is it twice the quality of H.264 at half the bandwidth.  See for yourself.

StreamingMedia.com Jan Ozer

Context & Ripple Effects

VP8 entered the debate framed as a potential alternative codec in the case for VP8 as a codec challenger, but a May 20 critique disputed On2's claimed quality advantage. This comparison narrows the practical conclusion: VP8 quality is viable, yet the evidence does not support a dramatic bandwidth-and-quality leap over H.264.

That matters because the earlier argument over VP8 was not simply whether it worked, but whether its free availability could outweigh the established performance baseline. The result makes measured trade-offs, rather than sweeping superiority claims, the basis for codec selection.

First-order effects

  • VP8 advocates can point to quality that is not substandard, but lose support for claims that VP8 delivers twice H.264's quality at half the bandwidth.
  • H.264 retains a credible quality benchmark after the earlier challenge to VP8's performance claims, even as VP8 becomes a viable free alternative.

Second-order effects

  • Video publishers and encoding-tool providers evaluating VP8 must treat it as a trade-off between a free codec and a performance gap, rather than as an automatic upgrade over H.264.
  • The lack of a decisive quality win keeps attention on the licensing concerns raised in the MPEG-LA critique, because performance evidence alone does not settle codec choice.

Third-order effects

  • Codec competition is likely to be decided by the combined weight of quality, bandwidth efficiency, and licensing terms rather than by any one benchmark result.
  • If open codecs can reach acceptable quality without clearly surpassing incumbent formats, adoption will depend on whether their cost and governance advantages compensate for narrower performance margins.

The trend: Online video codecs are moving toward multi-factor competition, where free availability and licensing pressure matter alongside measurable compression quality.