The reason I ask is when I installed PowerDVD it forced its codec
to be used instead of Uleads.
Is there any benefit to using one codec over another?
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The codecs are more likely not the same. I'm assuming that by mp2 you meant mpeg2 video?? The Ulead codec will probably be optimized for encoding purposes, whereas the PowerDVD codec will be optimized by whatever is in the algorithm that has been developed to playback the movie to PowerDVD's specs. (IE: it'll have videocard acceleration calls and such). If you did mean mp2 as the audio stream, however, then the answer is still the same - a different codec will generate different results, so which one is better than the other will depend on what you're doing, and what you see as "better looking."
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