On2 Technologies inks an extensive agreement with Texas Instruments, under which the two companies will collaborate on technology to implement On2's industry leading TrueMotion VP6 and VP7 video compression formats on TI's industry leading OMAP Platform and DaVinci technology for mobile handsets and digital video applications.

Under their agreement, the two companies will share technology and development resources allowing TI to optimize VP6 and VP7 codec performance for different applications with TI's development partners and community. Earlier this year, On2 became a TI development partner, further extending the availability of VP6 and VP7 codecs to TI's development community.

Through the use of On2's VP6 technology in Adobe Flash Player 8 and 9, On2's VP6 technology has become a de-facto web video standard, and is widely used by leading web video sites and user generated content and social networking services. The On2 VP7 codec, the latest generation of the company's TrueMotion codecs, is used in pioneering applications such as Skype video conferencing and AOL AIM.

TI's OMAP Platform is a comprehensive mix of processors, software and support that delivers the real-time processing and low power consumption necessary for 2.5G and 3G applications, including streaming media, security, interactive gaming, mobile commerce, location-based services and more. TI's DaVinci technology is the industry's first broadly available offering of integrated components for digital video. It consists of digital signal processing SoCs, ARM-based devices, video coprocessors, video accelerators, multimedia codecs, APIs, frameworks, development tools and comprehensive support.