VeriSilicon VC9800D VPU adds AV2 support to drive next-gen efficiency

The commercial availability of AV2 decoding IP is a critical prerequisite for the broad shift from AV1 to more efficient compression cycles. By integrating AV2 into a multi-format VPU that already supports legacy and rival standards like VVC, VeriSilicon is providing a low-risk migration path for hardware manufacturers amid market fragmentation. This move directly addresses the industry's need for lower bitrates in 8K and immersive media workflows while maintaining a royalty-free advantage over H.266. Watch for the first consumer silicon benchmarks in early 2027 to see if AV2’s real-world bitrate savings match the theoretical 30% efficiency gains.

The rollout of VeriSilicon’s AV2-compatible IP follows the official finalization of the AV2 v1.0.0 specification by the Alliance for Open Media (AOMedia) on May 28, 2026. This next-generation codec, backed by members including Google, Netflix, and Apple, introduces architectural changes such as 256x256 superblocks—doubling the size of those in AV1—to improve prediction and spatial partitioning. Per VideoCardz (June 2026), these optimizations are designed to achieve roughly 30% to 34% better compression efficiency than AV1 for 4K and 8K workflows, effectively reaching performance parity with the royalty-bearing VVC standard.

While hardware IP is now reaching the market, historical trends suggest a multi-year gap before widespread consumer adoption. For context, AV1 was finalized in 2018 but did not achieve broad hardware-accelerated support in major GPUs and mobile SoCs until roughly 2020 to 2022. According to Bitmovin’s 2025/26 Video Developer Report (September 2025), cost control has become the top priority for 38% of video teams, fueling the demand for royalty-free codecs that reduce bandwidth overhead. However, AV1 only reached a 30% share of total Netflix traffic by early 2026, illustrating the long tail of codec transitions.

Competitive pressure remains high as the industry balances royalty-free models against patented standards. Per Streaming Media Global (March 2026), the recent launch of the Video Distribution Patent Pool by Access Advance has added licensing complexities even for non-royalty codecs when bundled into hardware. VeriSilicon’s decision to support both AV2 and VVC within the same VC9800D core is a strategic hedge, acknowledging that while AV1 and AV2 dominate the web and mobile ecosystems, HEVC and VVC still maintain a strong foothold in the traditional broadcast and living room device markets.