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Virtual Set FAQ
  Here are some common questions that are asked about virtual sets and virtual set production:

Q) What is a virtual set?
A) A virtual set is any replacement for a real physical set, generally computer generated in nature, which uses the process of chromakeying (removing a chrominant color) to place a synthetic background behind the keyed talent.

Q) Can I key on DV?
A) This really has two answers 1) No, DV is an awful format to key on since it is 4:1:1, that means it throws away half the color information making keys blocky and unrealistic. 2) Yes, it is possible to key on DV, but the only way you will get a decent key is by using Ultimatte's AdvantEdge.

Q) What is the best video format to key on?
A) From least to best: Composite and DV are the worst to key on because they introduce artifacts into the key. Svideo is lowest good quality key, a decent key can be gotten from an svideo signal because it separates the luminance and chrominance into two channels. Between SDI and Component opinion has it that Component gives a better chromakey than SDI, the reasoning behind this goes something like the difference between a record and a CD, the digital version only has so many bits of definition, whereas the analog version has infinite definition. That said you would be hard pressed to tell the difference visually between a Component and an SDI key and with SDI's ability to route through multiple peices of equipment with no loss SDI is fast becoming the choice to key on.

 
What is a Blue Screen?
  A more basic answer than the Digital Factbook gives is having talent stand in front of a Green or Blue Screen and then use a device (hardware or software) to remove that color and replace it with another image or video source. This gives the illusion of the person being somewhere else, and it's a more common technique than you might realize. Not only is the weather man being keyed in front of a Blue Screen, but more and more often field correspondents and even newscasters are Blue Screened.
 
What is a Virtual Set?
  A Virtual Set uses Blue Screen keying to create a set or stage that isn't real, and in some cases could not be. Virtual Sets are ideal for situations where a real set is too expensive because of either space, location, or materials cost. Building a football stadium would be very expensive. Building a football stadium made of gold on the moon would be impossible, but not with a virtual set. A small stage covered with Blue Screen and adequate lighting is all that's needed to put your talent anywhere your imagination wants to put them.