x264/H.264
Features Overview
Provides best-in-class performance, compression, and features.
Achieves dramatic performance, encoding 4 or more 1080p streams in realtime on a single consumer-level computer.
Gives the best quality, having the most advanced psychovisual optimizations.
Support features necessary for many different applications, such as television broadcast, Blu-ray low-latency video applications, and web video.
x264 forms the core of many web video services, such as Youtube, Facebook, Vimeo, and Hulu. It is widely used in television broadcast and by ISP.
http://www.videolan.org/developers/x264.html (http://www.videolan.org/developers/x264.html)
https://en.wikipedia.org/wiki/H.264/MPEG-4_AVC (https://en.wikipedia.org/wiki/H.264/MPEG-4_AVC)
https://en.wikipedia.org/wiki/X264 (https://en.wikipedia.org/wiki/X264)
iTunes 1080p video looks better, saves space using better H.264 compression (http://arstechnica.com/apple/2012/03/new-itunes-1080p-looks-good-through-better-h264-compression/) (Ars Technica)
Improved H.264 Compression Holds Down File Sizes on 1080p iTunes Store Content (http://www.macrumors.com/2012/03/09/improved-h-264-compression-holds-down-file-sizes-on-1080p-itunes-store-content/) (Mac Rumors)