This invention reduces degradation in image quality and improves altered portion
specifying accuracy in a digital watermark technology. For this purpose, an apparatus
of this invention inputs image data and information such as a copyright holder
name to be embedded in the image data (S1, S2). A mask pattern having
a blue noise characteristic for intermediate- and high-frequency components is
set at the image data start position, and pixel data at a target embedding position
in the mask pattern is quantized (S5). The quantization error at this time
corresponds to the bit information to be embedded at that position. This processing
is repeatedly performed for the entire image (S6-S9).