This paper presents a method of design and realization of H.264 video streaming real-time transmission system, which contains two parts—server and client. Using the Samsung＇s latest ARM11 chip S3C6410 as the main controller, Server adopts V4L2 interface technology, the latest H.264 video coding technology, and RTP / RTCP Real-time Transport Protocol to complete video capture, encoding, and transmission process in the embedded environment of linux. The application development of video real-time display and storage can be achieved in the client end. Experimental results show that the system can achieve 25fps @ 720 × 480 image quality, and the video is delivered clear and stable with strong practical and broad application prospects.