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This article focuses on the development of the Advanced Audio Video Coding Standard in Information Technology (AVS) codec in China which started in June 2002, encouraging an alternative use for H.264 in consumer designs. This initiative is currently working in AVS 1.0. The standard is compatible with MPEG-2 at the system level. The biggest strength of AVS lies in its easy implementation. And from the coding perspective, H.264 requires more than twice the computing power of MPEG-2. For the same image quality, AVS requires about 30 percent less computing power than H.264. Moreover, the computing-power advantage that AVS offers arises from the granularity with which the scheme processes an image.

This article reports on the financial performance of Genesis Microchip Inc. for the fiscal fourth quarter of 2006. Genesis Microchip Inc. is a developer of image processing technology for flat-panel televisions and other consumer display products. The company expects revenues to be between $60 million and $61 million, slightly below the previously guided range of $62 million to $67 million for the quarter ending March 31, 2006. Genesis Microchip attributes the revenue shortfall, relative to its previous guidance, primarily to weaker-than-expected demand for flat-panel television controllers in Europe and for digital cathode-ray tube television controllers in China. Additionally, a key factor contributing to the decrease in gross margins is lower-than-expected yield on one of the company's newly launched television controller products.