Nero Digital is a version of MPEG-4-compliant compression technology, with video coding algorithms and AAC audio. Nero Digital was developed by Nero AG of Germany, and Ateme of France. It conforms the MPEG-4 ISO standard completely except for chapters and subtitles (but this may become ISO MPEG-4 standard as well, due to requests). Nero Digital also uses the MP4 container unlike other MPEG-4 based codecs that uses the older and inferior AVI. Nero Digital offers two different video codecs, and two different audio codecs. All four are part of the MPEG-4 ISO standard. The following codecs are:
Since NeroDigital is supposed to be used in standalone recorders and hence had to be limited in computational complexity, the results are still good, but ND isn't as detailed as its competition and it is somewhat blocky as well (though those are well hidden in many cases).
Recode's NeroDigital output comes as an MP4 file with AAC (High Efficiency if you like, both 2ch and 5.1ch is possible), subtitles and chapters (though the latter two require that you use Ahead's Showtime player, you won't get those features in any other player).
NeroDigital output will be added to at least NeroVision which also allows editing and non DVD input (though you can achieve the same by using the NeroDigital DS encoding filter already).
NeroDigital is not available as regular VFW codec, nor as the commandline utility I've used for these tests.
Recode's NeroDigital output comes as an MP4 file with AAC (High Efficiency if you like, both 2ch and 5.1ch is possible), subtitles and chapters (though the latter two require that you use Nero's Showtime player, you won't get those features in any other player).
We have already seen some NeroDigitalASP capable players, and Nero is actively pushing those (but things apparently took time as this program was announced a year ago and there are very few players that support NeroDigital at this point).
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