The document provides an overview of the status of MPEG-4 developments and the AIC Initiative. It discusses the goals, history, and architecture of MPEG-4, which aims to code audio-visual objects and scenes to enable interactivity. MPEG-4 extends existing architectures like MPEG-2 and IP to new environments through tools like an interactive scene description and support for new content types and delivery formats. Profiles and levels are defined to suit different applications. Carriage of MPEG-4 over MPEG-2 and IP is also addressed.