MP4 offers greater compression (i.e. faster downloads), but it requires royalties. With JMF, Sun only officially supports MP-1 and read-only MP-2. They withdrew MP-4 support. However, you can get a plug-in MP-4 decoder from IBM. Apple iPods, and QuickTime play MP-4 both audio and video so it is becoming a popular format.
Creating MP3 or converting other formats to MP3 is extremely CPU intensive. It takes many times longer than just playing the MP3. To do it in real time usually requires special purpose hardware.
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