Divx discs have the potential to ultimately replace video tapes. They’re especially convenient for video rentals because there are no late fees. Once you purchase a Divx title, you never need to return it. However, Divx has thrown a monkey wrench in the DVD market because the Divx format is not backward-compatible with current DVD-ROM players. This means that you need to buy a new Divx player to play Divx titles. Understandably, people and companies who have already invested in non-Divx players are not pleased.
(2) When spelled DivX, a trademark of DivXNetworks, Inc. DivX is a digital video compression format based on the MPEG-4 technology. DivX files can be downloaded over high-speed lines in a relatively short time without sacrificing the quality of the digital video.