"Set for a year-end release, AV2 is not only an upgrade to the widely adopted AV1 but also a foundational piece of AOMedia’s future tech stack.
AV2, a generation leap in open video coding and the answer to the world’s growing streaming demands, delivers significantly better compression performance than AV1. AV2 provides enhanced support for AR/VR applications, split-screen delivery of multiple programs, improved handling of screen content, and an ability to operate over a wider visual quality range. AV2 marks a milestone on the path to an open, innovative future of media experiences."
On the upside, the end user needs to use up less data for the same content. This is particularly interesting under 4G/5G and restrictive data plans, or when accessing places / servers with weak connection. It helps avoid having to wait for the “buffering” of the video content mid-playback.
But yes, I agree each iteration has diminishing returns, with a higher bump in requirements. I feel that’s a pattern we see often.