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We propose new schemes to introduce error resilience into the compressed video bitstreams for transmission over packet networks. First, we develop an adaptive packetization scheme that prohibits any dependency across packets, for error resilience purposes, while exploiting the dependency within each packet to improve the source coding performance. Secondly, we address a two-layer rate-distortion optimization scheme to serve our packetization method. We also use forward error correction (FEC) coding across packets to provide further error protection. Finally, we present a simplified version of our schemes to make it fully compliant with the current ITU video coding standard - H.263+.