---
title: "What Is Transcoding? Definition and Examples | RentAnOTT"
description: "Transcoding converts an uploaded video into the set of resolutions and bitrates needed for streaming. See how it works, what it costs and how it is billed."
url: "https://www.rentanott.com/glossary/transcoding"
markdown_url: "https://www.rentanott.com/glossary/transcoding.md"
category: "Streaming technology"
updated: "2026-10-05"
---

# What is transcoding?

Transcoding is converting a video from one encoded format into another. On a streaming platform it means taking an uploaded file or a live feed and producing the several resolutions and bitrates needed for adaptive playback on every device.

## How transcoding works

The source is decoded back to raw frames, then encoded again at each target resolution and bitrate. A single upload might produce five or six renditions, from 240p for weak mobile connections up to 1080p or 4K. The renditions are then packaged into segments and manifests for HLS or DASH.

## Related terms

- Transcoding: changing the codec or the bitrate
- Transrating: changing only the bitrate, keeping codec and resolution
- Transsizing: changing the resolution
- Transmuxing: changing the container or packaging without re-encoding the video

## On-demand and live transcoding

For on-demand titles, transcoding runs once after upload and can take its time, so slower, higher-quality settings are used. For live streams it must keep pace with real time for as long as the stream runs, which needs dedicated capacity for the whole event.

## What transcoding costs

Transcoding is priced per minute of output, with higher rates for higher resolutions and for newer codecs. A catalog costs a one-off amount to process; a live channel costs for every minute it is on air.

To estimate, multiply your minutes of content by the per-minute rate for the highest resolution you need. Re-encoding a catalog later, for example to add a new codec, incurs the cost again.

## Transcoding on RentAnOTT

On RentAnOTT, encoding is billed per minute, at a higher rate for 4K. Launch encodes up to 1080p; Growth and Scale up to 4K. [See pricing](https://www.rentanott.com/pricing).

## Related terms

- [Video encoding](https://www.rentanott.com/glossary/video-encoding) — Video encoding is compressing video with a codec, such as H.264, H.265 or AV1, so that it is small enough to store and stream. It removes detail the eye will not miss and describes each frame by how it differs from its neighbors.
- [Bitrate ladder](https://www.rentanott.com/glossary/bitrate-ladder) — A bitrate ladder, or encoding ladder, is the list of versions a video is encoded into for adaptive streaming. Each rung pairs a resolution with a bitrate, and the player moves up and down the rungs as the viewer's connection changes.
- [Adaptive bitrate streaming](https://www.rentanott.com/glossary/adaptive-bitrate-streaming) — Adaptive bitrate streaming (ABR) is a delivery method in which a video is encoded at several quality levels and the player switches between them during playback, choosing the highest quality the viewer's connection can sustain without stalling.
- [Codec](https://www.rentanott.com/glossary/codec) — A codec is the algorithm used to compress video or audio for storage and delivery and to decompress it for playback. The name combines coder and decoder. The choice of codec determines how small a file is at a given quality and which devices can play it.
- [Live encoder](https://www.rentanott.com/glossary/live-encoder) — A live encoder is the hardware or software that takes a live video feed from a camera or production mixer, compresses it in real time and sends it over the internet to a streaming platform, most often using RTMP or SRT.
- [Video storage](https://www.rentanott.com/glossary/video-storage) — Video storage is the disk space a streaming service uses to hold its catalog. It includes the original files that were uploaded and every encoded version made from them, and it is billed by the gigabyte for each month the files are kept.
- [HLS](https://www.rentanott.com/glossary/hls) — HLS (HTTP Live Streaming) is a streaming protocol created by Apple that delivers video as a series of short segments over ordinary web servers, listed in playlist files with the .m3u8 extension. It is the most widely supported way to stream both live and on-demand video.

## Further reading

- [Video bitrate calculator](https://www.rentanott.com/tools/video-bitrate-calculator)
- [Matroska vs MP4](https://www.rentanott.com/blogs/matroska-vs-mp4)
- [How to start a streaming service](https://www.rentanott.com/blogs/how-to-start-a-streaming-service)

## Frequently asked questions

### What is the difference between encoding and transcoding?

Encoding compresses raw video. Transcoding converts video that is already compressed into another format or bitrate. Platforms do the second, though both words are used for it.

### How long does transcoding take?

It depends on length, resolution and codec. HD in H.264 often processes faster than real time; 4K and newer codecs take considerably longer.

### Does transcoding lower quality?

Each generation of lossy encoding loses a little. Uploading a high-quality source keeps that loss invisible in the streaming versions.

All 163 terms: [Streaming and OTT glossary](https://www.rentanott.com/glossary).

## Book a demo

Tell RentAnOTT what you are launching. The team walks through the platform and maps the path to go-live around your catalog, markets and revenue model.

Book a demo: https://www.rentanott.com/contact

## More from RentAnOTT

- [Home](https://www.rentanott.com/index.md) — What RentAnOTT is, what every plan includes, and how launch works
- [Features](https://www.rentanott.com/features.md) — Every core feature and optional add-on
- [Pricing](https://www.rentanott.com/pricing.md) — Platform tiers, apps, add-ons, usage rates and example bills in INR and USD
- [Free tools](https://www.rentanott.com/tools.md) — OTT app builder and calculators for streaming revenue, bandwidth, bitrate and pricing
- [Insights](https://www.rentanott.com/blogs.md) — All streaming business articles
- [Glossary](https://www.rentanott.com/glossary.md) — Definitions of streaming and OTT terms
- [Book a demo](https://www.rentanott.com/contact.md) — Talk to RentAnOTT about your launch

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