[theora] Commercial use and distribution of Theora codec?

[James Wilson]

Hello,
 
I know that Theora is marketed as patent-free and free to use for any purpose, but a fellow over at Xvid.com told me that Theora in fact is based on MPEG tech, and therefore has some deep elements that people might eventually go after me for if I use it to encode commercially distributed video, and bundle the decode files with the game.
Besides  that, I belive the license of theora allows commercial distribution. Am I right?
So, what's the deal with this?
 
Thanks alot,
  James


      
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