The New York-based software company said Disney-owned ABC News will purchase 15 licenses for its Laptop News Gathering (LNG) system--technology that compresses video files at high bit rates to achieve broadcast-quality playback.
The system, which On2 developed in tandem with software companies TVZ and Fourth Broadcast Network, helps "TV correspondents to report live from a location using only a small camera, a laptop and a satellite phone," according to Richard Rees, 4BN's technical director.
Financial terms of the deal were not disclosed.
The deal follows a similar licensing agreement with the BBC, which will install the system so that journalists covering the Persian Gulf can transmit feeds via the Internet or satellite phone back to its headquarters in London.
ABC News will install two stations to receive video, in New York and London. The compression technology can encode fast-action video sequences at a bit rate of 2MB per second and slower sequences at 750KB per second to achieve TV-quality video.
"ABC's purchase is a further validation of the quality of the LNG system. We look forward to further adoption of the system as the need for mobile video newsgathering equipment increases in the coming months," On2 CEO Douglas A. McIntyre said in a statement.
On2 licenses its video compression technology, or codecs, for use in set-top boxes, consumer-electronics devices and wireless applications.