Abstract: The applications of digital imaging and visual communications have led to emergence of international standards for still images, known as JPEG (Joint Photographic Experts Group). The development of asynchronous transfer mode(ATM) wideband network technology and.human visual properties, however, gives rise in new froblems in image coding methods. This paper presents a layered image coding scheme based on ATM networks and human visual properties, which is compatible with JPEG baseline codes.