As a web developer I have been salivating at the prospect of using JPEG2000. The reason is simple. JPEG2000 delivers discernibly better image quality than JPG at the same compression level. JPEG2000 also affords better control over the image degrade artifacts while providing black and white compression opportunities only available to a limited audience of JBIG users.
And the major graphics vendors have not missed the beat either with Adobe, Corel, Jasc, and many others supporting JPEG2000 in most of their key bitmap software tools. But JPEG2000 has not taken off because Microsoft with 85-90% browser market share has refused to support PNG let alone JPEG2000 in IE(it looks like some sort of PNG support will arrive with IE7). But Mozilla and Opera have not helped the cause – both refusing to support JPEG2000 until numbers warrant. And JPEG2000 does not come cheaply – its .DLL files are substantiually larger than their JPG/JPEG counterparts.
But all this is pipedreaming now that Forgent is suing Microsoft over JPG/JPEG patents. In French they say “Cest dommage!” – what a pity!