EVD - or enhanced versatile disk - is pitched directly at the formats promoted by the DVD Forum, and started to be developed in 1999.
And E World Technology, which is pioneering the move, has already applied for over 25 patents for EVD, with 40 more due to be filed in the next year or so.
Because of the potential size of the Chinese market, the invention of the EVD format poses a serious threat to market share for the DVD consortium.
The format can store two hours of movies at high definition, and uses video CODECs which are also China's own intellectual property.
The ON2 CODECs will be made available for nothing for firms that want to release films and the like on the EVD format. ยต