A system and method for capturing and processing audio and video images for optimized transmission over a lower bandwidth communications channel are disclosed. A digital processing system receives video and audio signals from a media source such that the video and audio signals are representative of captured images and sounds as a multimedia signal. An optical processing system is coupled to the digital processing system and performs signal processing algorithms on the multimedia signal. A transceiver transmits the multimedia signal over a lower bandwidth communications channel wherein the multimedia signal is optimized for transmission over the lower bandwidth communications channel by the signal processing algorithms performed by the optical processing system.