Abstract: The wavelet theory with its statistic characteristics and distribution patterns of important coefficients is first introduced and analyzed. Some of the most representative and vital element quantization image coding algorithms are expounded and compared, such as the embedded zerotree wavelet (EZW), morphological representation of wavelet data (MRWD), set partitioning in hierarchical trees (SPIHT) and the significance-linked connected component analysis (SLCCA). After that the video segmentation algorithm based on the time-axes wavelet transform is presented in detail and the topics for further study are explored.