5. If you are producing encoded output (H264, MJPEG, MPEG2, etc.) the next step is one of the encoding blocks, the H264 block in this case. The encoding blocks are specialized hardware designed specifically to produce particular encodings. For example, the JPEG block will include hardware for performing lots of parallel discrete cosine transforms (DCTs), while the H264 block will include hardware for performing motion estimation. 6. Once encoded, the output is copied to the CPU via DMA.