How do you know they feel they're getting 'bit'? Maybe they think this is the optimal solution for what they are trying to accomplish? Maybe they have an internal tool for generating the images they need to accomplish these things? Maybe it's "smooth as butter", as they would say, on their side?
There's a reason that we have video codecs like mpeg and h264 instead of using mjpeg for everything; the compression is much better. In that sense, a stream of jpegs is far from optimal, even if it's smooth as butter on a fast connection.