the AV1 codec, created by the digital giants, is the subject of an investigation by the European Commission. Brussels fears that the alliance behind the codec will impose licensing conditions that would stifle competition and innovation.
AV1 video compression technology appeared a few years ago, but its origin is quite specific. The open video codec has indeed been created by several digital behemoths, such as Google, Meta, Apple, Amazon, Netflix, Cisco, Samsung, Tencent, Huawei or even Mozilla and Apple, with the aim of offering a royalty-free alternative, through the Alliance for Open Media (AOM). And what’s more, the codec is 30% more efficient than H.265, its first competitor, deemed universal. However, the European Commission has decided to open an investigation into the practices of the consortium that is developing the codec.
The risk of anti-competitive behavior
Admittedly, the opening of an investigation in no way prejudges its outcome, but Brussels today has some small doubts about the conditions of use of AV1 licenses in Europe. The Commission fears that the Alliance for Open Media, founded in 2015, has engaged in anti-competitive behavior.
If Netflix, Twitch or YouTube have started to use the AV1 codec, it is still far from mass adoption, since it is compatible with a still limited number of browsers (Chrome, Firefox, Edge, Opera), mobiles (Android only ) and especially televisions (very few). But its scope is growing, and the interest of the public, part of which is increasingly consuming 4K content, is growing.
At the beginning of the year, the companies that are part of the AOM were invited by the European Commission to respond to a questionnaire aimed at collecting their testimony and opinions on possible royalty-free compulsory cross-licenses, which would be imposed on companies that were not part of the Alliance when the AV1 codec was created.
A potential brake on AV1 innovation and competition
At this stage, the Commission would hold information according to which the consortium and its members could have imposed these famous conditions, whereas the patents attached to the AV1 codec are considered essential.
According to Brussels, this potentially anti-competitive behavior may have restricted the ability of some companies to compete with the AV1 technical specification, and have created a brake on innovation for these companies, even though the initial promise of the AOM is none other that ” to offer open, royalty-free and interoperable solutions for the next generation of media delivery “.
If the investigation will not necessarily lead to sanctions, the companies targeted by the latter are still exposed to a fine of up to 10% of their annual global turnover.
Source : Reuters
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