A novel lossless data hiding scheme based on a combination of prediction and the prediction-error adjustment (PEA) is presented in this paper. For one pixel,its four surrounding neighboring pixels are used to predict it and 1-bit watermark information is embedded into the prediction-error. In traditional approaches,for the purpose of controlling embedding distortion,only pixels with small prediction-errors are used for embedding. However,when the threshold is small,it is difficult to efficiently com-press the location map which is used to identify embedding locations. Thus,PEA is introduced to make large prediction-error available for embedding while causing low embedding distortions,and accord-ingly,the location map can be compressed well. As a result,the hiding capacity is largely increased. A series of experiments are conducted to verify the effectiveness and advantages of the proposed ap-proach.
