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A image capture and processing system is Introduced which is based on TMS320C5402 and OV511 camera. The video data of OV511 camera is sent to the host with USB, then transmitted into the Ethernet after being compressed into a JPEG image, so that the real-time monitor could work. Firstly, the system structure is introduced. Then hardware circuit and software design are narrated. Finally, the flow of JPEG image compression is given.