[klodolph]

Yes, and the lesson from Dirac was that wavelets are cool, but they have some serious problems which must be overcome before they can be used in a complete codec.

The consensus was that intra-frame prediction is very important, and it's relatively easy to do intra-frame prediction if you can predict the content of one discrete block based on blocks that appeared earlier in the stream. It's hard to do intra-frame prediction with wavelets, since they don't divide into blocks.