Google have today announced a new deal to acquire On2 Technologies, a leading video compression company that provides high quality video at high compression rates.

Google are committed to offering high quality, streaming video to both its Google Video users and its YouTube users. Google have talked about improving the quality of streaming video and adding further value to the user experience by providing more HD quality content.

High Quality streaming video is one of the many holy grails of the internet. Large file sizes and download rates restrict the existing technology from being available to every household, causing long and slow downloads and buffering. The higher the quality of the service, the faster the streaming and download times, the more likely web based video will integrate into consumer households.

If streaming web based video could potentially match High Definition quality television, with low file download sizes, let’s say HD at a minimum of 720p, more households would use the internet to watch and download content. This could potentially open a massive new market to Google for paid download and subscription based video and content through YouTube. The opportunity to provide advertising including video commercials at the beginning and end of content would potentially offer Google a very lucrative channel to resell advertising. Google have already signed a deal to provide Disney content on the YouTube network. As a user can you imagine being able to choose any film or video content and instantly watch and stream the content in real time at an HD quality directly to your home TV. No download time, no waiting, just click and watch. This same technology would help to improve mobile and handheld video content, providing mobile users with a greater array of streaming content without the need to download or buffer large files.

The deal with On2 outlines the importance of the technology and shows Google’s resolve to investigate the video compression further. The deal is subject to approval by On2 Technologies stockholders and the regulatory authorities.

The acquisition marks a clear commitment by Google to develop their existing video content, what Google have up there sleeves at this point in time no one knows, but as always it looks very exciting.

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Google is to remove the beta logo from many of its key services including Gmail, Google Calendar, Google Docs, Google Talk and Google Video for business. Google wants to attract more business users to its applications and is reported to be in the process of creating a business suite of communications tools which will be available for download.

Although this might not seem like a big deal as most users will only see the removal of the beta label from the service logo, in order to attract more business users Google’s Applications need to be seen as fully developed, trusted and working products in order to be accepted by the business community.
We’ve come to appreciate that the beta tag just doesn’t fit for large enterprises that aren’t keen to run their business on software that sounds like it’s still in the trial phase,” wrote Rajen Sheth, senior product manager at Google Apps in a recent Blog post.

“No business is going to rely on a ‘beta’ service for something as important as e-mail,” says Matt Cain, lead e-mail analyst with market research firm Gartner. But, he adds, “just by lifting the beta label does not guarantee Google success”.

Only recently Google announced the forthcoming launch of Google Wave, a new communication based product which will allow multiple channels of communication to be accessed in one, real time online environment. Is Google’s current move to attract the business community part of a bigger strategy which involves Google Wave?

Cloud based communication is definitely the next big thing and Google Wave will offer a platform which will directly integrate into the cloud. It’s safe to say that there are some very exciting big changes ahead of us, Google will be taking on the likes of Microsoft with over 70% of the communication software marketplace, if they expect to compete Google will have to pull something pretty special out of the hat.

Article by Creative SEO UK