DivX is the name of a revolutionary new video codec which is based on the new MPEG-4 compression standard for video. When you install a video codec on your system it basically works as an add-on to your system with instructions how to compress/decompress video in that video format. Once you've installed the DivX codec on your system you will be able to play DivX movies using Windows Media Player or any other DivX-enabled player.
Despite the fact that DivX movies offer better compression and higher quality video then regular MPEG movies they take less time to encode due to the incredible compression technology. The DivX codec makes it possible to compress/encode a full-length movie at near DVD-quality that's small enough to fit on a single CD (700MB). The DivX video is usually combined with MP3 audio to produce both high quality video and audio.

Goto the DivX codec section to download and install the codec.