
Inuk's encoding is based on H.264 MPEG4 thereby reducing the bandwidth requirements for each channel. Compared to an MPEG2 stream, MPEG4 streams require approximately half the bandwidth (typically 1.5 Mbps per stream).
Inuk utilises the latest multicast technology. Multicasting is to transmit data to multiple recipients on the network at the same time using one transmission stream to the switches, at which point data are distributed out to the end users on separate lines. Contrast with "unicast," in which there is a separate transmission stream from source to destination for each recipient. When sending large volumes of data, multicast saves considerable bandwidth over unicast.
Unicasting is simply too demanding on the server if there is a significant number of viewers.

Multicasting uses the routers to direct stream, thus the demand on the server remains the same irrespective of viewers.