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A new algorithm is presented for hiding a secret image in the least significant bits of a cover image. The images used may be color or grayscale images. The number of bits used for hiding changes according to pixel neighborhood information of the cover image. The exclusive-or (XOR) of a pixel's neighbors is used to determine the smoothness of the neighborhood. A higher XOR value indicates less smoothness and leads to using more bits for hiding without causing noticeable degradation to the cover image. Experimental results are presented to show that the algorithm generally hides images without significant changes to the cover image, where the results are sensitive to the smoothness of the cover image. Keywords—image steganography; information hiding; LSB method I. INTRODUCTION Steganography is a method of hiding a secret message inside other information so that the existence of the hidden message is concealed. Cryptography, in contrast, is a method of scrambling hidden information so that unauthorized persons will not be able to recover it. The main advantage steganography has over cryptography is that it hides the actual existence of secret information, making it an unlikely target of spying attacks. To achieve higher security, a combination of steganography with cryptography may be used. In this paper, a new algorithm is presented to hide information in the least significant bits (LSBs) of image pixels. The algorithm uses a variable number of hiding bits for each pixel, where the number of bits is chosen based on the amount of visible degradation they may cause to the pixel compared to its neighbors. The amount of visible degradation is expected to be higher for smooth areas, so the number of hiding bits is chosen to be proportional to the exclusive-or (XOR) of the pixel's neighbors. Analysis showed effectiveness of the algorithm in minimizing degradation while it was sensitive to the smoothness of cover images.

Hiding an Image inside another Image using Variable-Rate Steganography