VC-2 is a low-latency video codec that uses wavelet transforms and entropy coding. It can be readily implemented in hardware or software at very high bit rates.
TV production is making increasing use of IP networks but the bit-rates needed for uncompressed video, particularly for UHD, can easily exceed the capacity of available links. A relatively mild level of compression (referred to as 鈥渕ezzanine鈥) can maintain the picture quality needed for production while enabling much more efficient use of network capacity. The simplicity of implementation and the low latency of the VC-2 codec make it ideal for these applications. The fact that it is royalty-free is a further benefit for manufacturers and users.
VC-2 is specified in and there are related standards and recommended practices in the 2047 series which describe coding parameters for particular applications and carriage of VC-2 compressed video over SDI.
For more information take a look at the VC-2 Project Page.