I'm not making any representations as to Raystream particularly, but it is not true that you can't make fancy encoding algorithms that will then run on a standard codec in a phone. Video standards are decoding standards, and specify what steps the decoder needs to do to take compressed video data and uncompress it.
Of course, this company may be a pump-and-dump, but it is also true that some kind of super-clever encoding algorithm may exist that would be much better than existing encoders and still run fine on existing phone codecs. That is, the fact that they claim an algorithm produces correctly-formatted mpeg is not a disqualifying factor.
Of course, this company may be a pump-and-dump, but it is also true that some kind of super-clever encoding algorithm may exist that would be much better than existing encoders and still run fine on existing phone codecs. That is, the fact that they claim an algorithm produces correctly-formatted mpeg is not a disqualifying factor.