The Problem with AVI
AVI (Audio Video Interleave) was introduced by Microsoft in 1992. It was designed for the Windows 3.1 era. While it was a pioneer, it lacks the sophistication of modern containers. It doesn't natively support variable bitrate (VBR) audio well, subtitles are a hack, and streaming is impossible because the index is often at the end of the file.
MP4 is the modern standard. It supports advanced compression algorithms like H.264 and H.265, allows for web streaming, and is supported by every major operating system and mobile device.
