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The H.264/AVC (Advanced Video Codec) is the latest standard for video coding established by the Joint Video Team ITU-T VCEG and ISO/IEC MPEG (Wiegand et al., 2003) (Suhring, 2010) (Links, 2010). This standard has many innovations, such as hybrid prediction/transform coding of intra frames and integer transforms (Richardson, 2004). Fig. 1 presents a simplified block diagram of the H.264/AVC encoder with the following main blocks: motion estimation (ME), motion compensation (MC), intra prediction, forward transform (FT), forward quantization (FQ), inverse quantization or re-scaling (IQ), inverse transform (IT), entropy coding and de-blocking filter, among others. Initially, most of the work done on H.264 was oriented toward its software implementation. However, in recent years the contributions to the hardware implementation of H.264 have increased greatly, enabling the implementation of fast architectures for real-time video applications (Lin et al., 2008) (Finchelstein et al., 2009) (Liu et al., 2009).

Variable Bit-Depth Processor for 8×8 Transform and Quantization Coding in H.264/AVC