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Within that, the JPEG Committee will oversee the development of a proposed new standard designed explicitly for the next generation of digital cameras. Tentatively titled JPEG XR, the new format will be based extensively on the Windows Media-based HD Photo format introduced by Microsoft earlier this year.

JPEG says it has received assurances from Microsoft that it will make patents

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necessary for implementation available free-of charge.

"Microsoft's royalty free commitment will help the JPEG committee foster widespread adoption of the specification and help ensure that it can be implemented by the widest possible audience," JPEG claims in a statement.

Microsoft welcomed the decision, saying that JPEG XR will allow camera, printer, display and software companies to develop products with a consistent scheme that ensures interoperability.

"Microsoft is very pleased that the JPEG working group is considering HD Photo as a new standard, and we are committed to working co-operatively with JPEG and its affiliated standards organisations to ensure that this file format serves the needs of the next generation of consumer and professional photographers," says Tom Robertson, general manager of Interoperability and Standards at Microsoft.

JPEG will now consider feedback on the proposals ahead of its next meeting in November. Finalising and publishing the completed standard is expected to take up to one year after that.