On2 Technologies, Inc., The Duck Corporation today announced that it has signed a contract with China Netcom Communication International Corporation (CNC International Corporation, Ltd.) for use of On2's VP6.2 video codec and TrueCast servers for the broadcast of video via satellite and the Internet for educational and cultural projects in China.

CNC International is a facilities-based broadband communications operator that provides a full spectrum of services and solutions to meet the broadband telecommunications needs of businesses and individuals.

On2 Technologies is a technology firm at the forefront of video compression. The Company revolutionized video encoding with the creation of its advanced full-motion, full-screen, video compression and streaming technology (TrueMotion VP4/VP5/VP6). On2 licenses its high quality video codecs for use in set-top boxes, consumer electronics devices and wireless applications. In addition, On2 offers a suite of products and services, including high-level video encoding, customized technical support, and consulting/integration services.