Videology Blog

How Video Codecs Work: A Beginner’s Guide to Video Compression

Written by Derya Yoruk | Apr 17, 2025

In today's video-first world, we stream, share, and store video content constantly. But have you ever paused to think about how these massive video files move so effortlessly across devices and platforms? The secret lies in video codecs.

In this article, our Engineering Technician Chris DeMello breaks down what video codecs are, how they work, and why they matter in everyday digital life.

What Exactly Is a Video Codec?

A video codec - short for coder-decoder - is a technology that compresses and decompresses digital video files. Compression shrinks video file sizes, making them easier to store and share, while decompression restores them to a viewable format. Without codecs, streaming high-quality videos or sharing them online would be impractical due to the immense file sizes.

How Do Video Codecs Work?

  1. Compression: When a video is recorded, it contains vast amounts of data. A codec reduces this data by removing redundant or less significant information. For example, if a scene has a static background, the codec stores that background once and reuses it across frames.


  2. Encoding: After compression, the data is encoded into a specific format. Popular video codecs include H.264, H.265 (HEVC), and VP9, each offering different levels of quality and file size efficiency.


  3. Decoding: When you play a video, the codec on your device decodes the compressed data, converting it back into a format your screen can display. This process happens in real time, allowing smooth playback. 

 

 

Why Are Video Codecs Important?

  • Efficiency: They compress files, enabling seamless video streaming and storage.
  • Quality: Advanced codecs preserve video quality even with significant compression.
  • Compatibility: Some codecs, like H.264, are universally supported across devices and platforms.

 

A Closer Look at Popular Video Codecs

Selecting the appropriate video codec is critical to optimizing video performance, storage efficiency, and system compatibility. H.264, H.265, and MJPEG represent three common compression standards, each suited to specific operational requirements. The table below provides a technical comparison of these codecs, focusing on compression efficiency, processing demands, and ideal deployment scenarios.

 

H.264

(Advanced Video Coding)

H.265 (High Efficiency

Video Coding)

MJPEG (Motion JPEG)

Pros
  •  Good balance of file size and quality
  •  Widely supported (YouTube, Blu-ray, etc.)
  • High quality at lower bitrates
  • 50% better compression than H.264
  • Excellent for 4K & 8K content
  • High quality at reduced bitrates
  • Easy to implement
  • High quality (each frame is a JPEG)
  • Low latency
Cons
  • More processing power than older codecs
  • Licensing fees apply for commercial use
  • Higher processing demands
  • Licensing fees similar to H.264
  • Poor compression (large files)
  • Limited support on
    newer devices
Use Cases
  • Streaming services
  • Video conferencing
  • Blu-ray discs
  • Ultra HD streaming
  • Professional-grade 4K recordings
  • UHD Blu-ray
  • Video surveillance systems
  • Webcams
  • Older cameras
Performance
  • Ideal for HD and Full HD content
  • Offers reliable video compression and compatibility
  • Reduces storage and bandwidth needs
  • High-resolution videos without compromising quality
  • Great for low-latency scenarios
  • Less effective for modern, high-quality video needs

 


Choosing the Right Codec for Your Needs

  • H.264: Perfect for general use with wide compatibility and solid video compression efficiency.
  • H.265: Best for high-resolution content, offering superior video compression for 4K and 8K videos.
  • MJPEG: Ideal for niche applications like surveillance, where simplicity and low latency are key.

Video codecs are the invisible workhorses that make modern video consumption possible. By compressing massive files without compromising quality, codecs enable seamless streaming, sharing, and storage across platforms. Whether you are a casual viewer or a media professional, understanding how codecs work helps you make better choices for your video needs.

So, the next time you watch your favorite show or share a clip, remember the powerful technology working behind the scenes!