On September 13th, On2 unveiled its new VP8 video coding format, reportedly able to outperform industry-leading H.264/AVC video coding standard by providing about 50% bit-rate reduction at identical objective video quality (PSNR).
In addition, On2 says that VP8 streams are less complex to decode than H.264/AVC ones, and that VP8 is more suitable for multi-core processing because of less cross-macroblock data dependency.