a method and apparatus for improving the playback quality of audio / video streams encoded for transmission using low frame rate motion compensated coding . when a transmitting system sends an audio / video stream encoded using low frame rate motion compensated waveform , a receiving system may decode and then re - encode the stream to perform a more exhaustive search for new motion vectors that were not detected by the transmitting system . the method and system further provides improved motion compensated interpolation processes that the receiving system may use in conjunction with , or separately from re - encoding of an audio / video stream to produce a better quality playback of the stream . the method and system is particularly useful for video conferencing sessions transmitted at low rates using h . 263 standard , but may be useful in other scenarios as well .