[Andrew Richards] "Can (does) any sort of MPEG-4 support alpha? Is that just a limitation of the spec?"
Actually -- yes it does, sort of.
The MPEG4 Simple Studio Profile supports auxiliary channels, which could be used for alpha or depth -- and presumably even displacement, motion vectors, normals, etc.
I don't think they're mandatory, though. I also have no idea if the use of auxiliary channels has been codified or standardized by anyone, and I have no idea if any desktop software anywhere supports the Simple Studio Profile. The only actual use of MPEG-4 Simple Studio Profile that I'm aware of at all is HDCAM.
Regardless, if more people begin looking to MPEG-4 as an intermediate format, proper support for alpha transparency will be a must, and arbitrary multi-channel support a la OpenEXR would be cooler still.
But for today, adding alpha to AVC-Ultra (AVC-Ultra+?) would make me more than happy.
Walter Soyka
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