Aircord claims the product is capable of lossless streaming, and uses a proprietary technology to encode and decode your video signals, although the company's lack of a website or actual product shots makes us a bit wary of the whole thing.
The main knock against H.264 is that the ideas behind it are patented, so any software makers who want to encode or decode H.264 video have to pay into a licensing pool called MPEG LA once their audiences reaches a certain size.
Further down the road, the MicroConsole will apparently even have 3D gaming support, as the company's figured out a way to encode and decode a pair of discrete video streams with this very hardware.