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Summary form only given. To meet the requirements of the digital audio and video industry and related technology development, the Audio Video Coding Standard Working Group was established with the approval of the Science and Technology Department of the China Ministry of Information Industry (MII). AVS Workgroup takes the responsibility for the formulation of technical standards related to equipment for multimedia compression, decompression, processing and presentation and products like digital audio and video systems. The working results will be submitted for review and approval by the Science and Technology Department of MII to publish such standards as industrial standards, or be submitted by the Science and Technology Department of MII directly to the State Authority of National Standardization to be ratified as National Standards of China. AVS Standard's main purpose is to compress digital audio and video data to the range from more than 1/10 to even below 1/100 of the original data. AVS standard includes four main technical standards, which are system, video, audio and digital copyright management, and some supporting standards such as consistency versification. During the seventh meeting in Beijing on 18-19th of December in 2003, the Working group has completed the Final Committee Draft of the first part (system) and the second part (video) as well as the verification software.