This dialogue allows you to specify the properties of the audio and video that is streamed. You can select a codec and formats to improve the quality or to decrease the band-with required to view the video.
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For camera output you can view the camera using a series of jpg images. Here you can select the quality of the jpg, smaller values decrease the band-width and the clarity of the image. Higher values the opposite.
This is the number of frames per second that will be displayed in the video/jpg stream. For a full movie quality this is normally 24 FPS (TV is either 25 or 30 depending on your country). Anything below 24 frames will star appearing jerky and below 10 very much so. There is no real reason to increase the frame rate above 24 (or 25/30 for TV).