Editing On2 Technologies (section)

=== TrueMotion VP5/6 ===
{{Redirect|VP5|}}
A preview version of VP5 was published on February 21, 2002, with production version being available as of May 1, 2002.<ref>On2 (2002-02-21) [http://www.on2.com/index.php?id=486&news_id=337 On2 Releases Preview Version Of VP5, The World's Most Powerful Video Compression Technology] {{webarchive|url=https://web.archive.org/web/20100130233524/http://www.on2.com/index.php?id=486&news_id=337 |date=2010-01-30 }}, Retrieved on 2009-08-16</ref><ref>CNet (2002-02-22) [http://news.cnet.com/2100-1023-843457.html On2: Move over, MPEG-4], Retrieved on 2009-08-16</ref><ref>StreamingMedia.com (2002-02-27) [http://www.streamingmedia.com/article.asp?id=8185 On2 Previews VP5] {{Webarchive|url=https://web.archive.org/web/20071017210205/http://streamingmedia.com/article.asp?id=8185 |date=2007-10-17 }}, Retrieved on 2009-08-16</ref> The production version of VP5 codec was released in May 2002.<ref name="vp5-production">On2 (2002-05-01) [http://www.on2.com/index.php?id=486&news_id=321 On2 Technologies Releases Production Version Of VP5 & TrueCast 7.2] {{webarchive|url=https://web.archive.org/web/20071204065821/http://www.on2.com/index.php?id=486&news_id=321 |date=2007-12-04 }}, Retrieved on 2009-08-16</ref>

When the codec was in [[Development stage#Beta|beta]], to preview its quality, On2 created a plug-in for [[RealPlayer]].<ref name="vp5-production" /> Lately the final version of the codec was ready. The VP5 codec was limited, when the VP6 came out.

{{Main|VP6}}
The sixth version like VP3 and VP4 kept the same bitstream as VP5 and added an optional alpha channel to the [[color space]].

In April 2003 [[AOL]] has bought broad licensing rights for VP5 and VP6 codecs.<ref>CNET News (2003-04-04) [http://news.cnet.com/AOL-licenses-On2-video-codecs/2100-1025_3-996790.html?tag=mncol AOL licenses On2 video codecs], Retrieved on 2009-08-17</ref> More recently,{{When|date=February 2011}} On2 licensed its technology to AOL for use in an IP-based video telephony product, to Tencent Holdings of China for use in its instant messaging products, and to Saver Corporation of Japan to enable new Flash 8 mobile video applications.

On May 12, 2003, On2 announced the release of VP6.<ref>{{webarchive |url=https://web.archive.org/web/*/on2.com/pressreleases.php3?qs1=vp6_launch |date=* |title=Press release of On2 on the release of VP6 }}</ref> Revised versions 6.1 and 6.2 followed later that year.
Since October 2003 it may be used free of charge for personal use.

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 [[Enhanced Versatile Disc|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.

A number of less highly visible deals with other customers and partners seem to have worked out more amicably than the Chinese DVD project. Recent announcements have related to deals with Apex Datacom, IWAPI Inc., [[Vividas]], Digital Witness, [[XM Satellite Radio]], PowerLinx, and [[LeapFrog Enterprises]]. In particular, the company indicated that it expected to recognize some revenue from the Leapfrog deal in the third quarter of 2005 and also made optimistic statements about the future with XM Satellite Radio.

In 2004, On2's [[VP6]] was selected for use as the [[Macromedia]] [[Flash Video]] 8 codec. This apparently stems from a deal made in the second quarter of 2004 with revenue in that quarter of $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.