C2 Microsystems was founded by a group of veteran Silicon Valley entrepreneurs in May, 2004 with the target to create the best technology in the world for digital home and mobile entertainment.

C2 Microsystems is developing a family of low-cost, high performance, fully programmable SOCs, based on the Linux OS, and includes a software package that is optimized for networked digital home and mobile entertainment. C2's unique approach to media processing involves a software implementation of all major audio and video codecs and an application framework that allows programmers total control of the media application. C2's product family supports encode and decode of all major audio and video codecs (including VC1, H.264, Mpeg2, Mpeg4) in resolutions up to the most demanding HD video. The software implementation gives application developers unprecedented control over codec behavior (e.g. dynamic rate control, sophisticated image processing, etc.). C2 Micro's headquarters are in Beijing, China and its Advanced Technology Center is in San Jose, California with a sales, marketing and design office in Taipei, Taiwan.