This document provides an overview and illustration of JPEG 2000, a new image compression standard that replaces JPEG. It explains key features like tile division, progression order, quantization, discrete wavelet transformation, DC level shifting, and region of interest encoding. Graphs show that JPEG 2000 provides much smaller file sizes than JPEG while maintaining higher image quality. The conclusion states that JPEG 2000 offers excellent compression, fully exploits discrete wavelet transformation, and is well-suited for hardware implementation, establishing it as the most advanced image compression standard.