Apple objects to Ogg Theora, claiming that the lack of known patents on Theora doesn't rule out the threat of submarine patents that could eventually be used against adopters. Apple is also concerned about the lack of widespread support for hardware-based Theora decoding, a factor that diminishes the format's viability on mobile devices. Google shares Apple's skepticism about the potential of Theora in the marketplace. The search giant claims that Theora's lack of quality relative to H.264 will make it an impractical choice for large-scale streaming video services such as YouTube.
Obtaining a license for H.264 from MPEG LA doesn't guarantee complete immunity from patent infringement liability, though. Although it is generally assumed that MPEG LA controls all of the relevant intellectual property pertaining to H.264 implementations, there is still the possibility that a third-party which is not a member of the consortium has a broad patent covering related compression technology that it can independently enforce against MPEG LA licensees.