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There are primarily two types of Character Generators Hardware based and Software based. CGs (Character generators) have evolved a lot with the advancement in technology over the years. Computers use a character generator ROM that converts ASCII bytes into tiny dot matrix pattern for displaying on screen. The dot matrix pattern has various densities ranging from 5x7 to 10x12. This means that lower the resolution of the dot matrix, low the cost and vice versa.

Hardware based Character generators: These are mostly used in Television Studios and Video editing suites, where a desktop publishing like interface is used to generate static or moving text or graphics, which is then encoded into a high quality video signal by the device such as digital SDI or analog component video or even high definition.

Software based Character generators: Software based CGs run on standard off-the-shelf hardware, and are often integrated into a non-linear video editing software.

Traditional CGs are based on 2D graphics while most modern CGs offer richer 3D displays with video playback and audio embed support.

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