diff --git a/scripts/setup_pi.sh b/scripts/setup_pi.sh
index ad65357..095416f 100755
--- a/scripts/setup_pi.sh
+++ b/scripts/setup_pi.sh
@@ -7,7 +7,8 @@ sudo apt-get install -y \
     libcap-dev \
     python3-prctl \
     python3-picamera2 \
-    python3-pil
+    python3-pil \
+    ffmpeg
 
 echo "Configuring Poetry to use system site-packages..."
 poetry config virtualenvs.options.system-site-packages true
diff --git a/src/app.py b/src/app.py
index 3b9e85c..81bee3f 100644
--- a/src/app.py
+++ b/src/app.py
@@ -1,16 +1,14 @@
 import logging
-from collections.abc import Generator
 from datetime import UTC, datetime
-from typing import Any
 
-from flask import Flask, Response, jsonify, render_template
+from flask import Flask, Response, abort, jsonify, render_template, send_from_directory
 
 from src.camera import camera
 
 app = Flask(__name__)
 
 
-logging.basicConfig(level=logging.INFO)
+logging.basicConfig(level=logging.WARNING)
 
 
 @app.get("/heartbeat")
@@ -43,17 +41,35 @@ def camera_stop() -> tuple[Response, int]:
     return jsonify({"status": "stopped"}), 200
 
 
-@app.get("/camera/stream")
-def camera_stream() -> Response:
-    def generate() -> Generator[bytes, Any, Any]:
-        for frame in camera.frames():
-            yield (b"--frame\r\n" b"Content-Type: image/jpeg\r\n\r\n" + frame + b"\r\n")
-
-    return Response(
-        generate(),
-        mimetype="multipart/x-mixed-replace; boundary=frame",
+@app.get("/camera/status")
+def camera_status() -> tuple[Response, int]:
+    return (
+        jsonify(
+            {
+                "running": camera.running,
+                "ready": camera.wait_until_ready(timeout=0),
+            }
+        ),
+        200,
     )
 
 
+@app.get("/camera/hls/<path:filename>")
+def hls_segment(filename: str) -> Response:
+    hls_dir = camera.hls_dir
+    if not hls_dir.exists():
+        abort(404)
+
+    # set correct MIME types for HLS files
+    if filename.endswith(".m3u8"):
+        mimetype = "application/vnd.apple.mpegurl"
+    elif filename.endswith(".ts"):
+        mimetype = "video/mp2t"
+    else:
+        abort(404)
+
+    return send_from_directory(str(hls_dir), filename, mimetype=mimetype)
+
+
 if __name__ == "__main__":
     app.run(host="0.0.0.0", port=5000, debug=True, threaded=True)
diff --git a/src/camera.py b/src/camera.py
index 61687d3..eb27c21 100644
--- a/src/camera.py
+++ b/src/camera.py
@@ -1,114 +1,166 @@
-import io
 import logging
+import shutil
+import subprocess
 import threading
-from collections.abc import Iterator
-
-try:
-    from PIL import Image
-
-    PIL_AVAILABLE = True
-except ImportError:
-    PIL_AVAILABLE = False
+import time
+from pathlib import Path
 
 logger = logging.getLogger(__name__)
 
+
 try:
     from picamera2 import Picamera2
+    from picamera2.encoders import H264Encoder
+    from picamera2.outputs import FileOutput
 
     PICAMERA_AVAILABLE = True
 except ImportError:
     PICAMERA_AVAILABLE = False
-    logger.warning("picamera2 not available — running in mock mode")
+
+HLS_DIR = Path("/tmp/hls")
+SEGMENT_DURATION = 2  # seconds per segment
+SEGMENT_COUNT = 5  # segments to keep in playlist
+BITRATE = 2_000_000  # 2 Mbps — adjust for bandwidth needs
+
+
+class PipeOutput:
+    """Accepts H.264 bytes from picamera2 and writes to a subprocess stdin pipe."""
+
+    def __init__(self, proc: subprocess.Popen[bytes]) -> None:
+        self._proc = proc
+
+    def write(self, data: bytes) -> None:
+        if self._proc.stdin:
+            try:
+                self._proc.stdin.write(data)
+            except BrokenPipeError:
+                pass
+
+    def close(self) -> None:
+        if self._proc.stdin:
+            self._proc.stdin.close()
 
 
 class Camera:
+
     def __init__(self) -> None:
         self._picam: Picamera2 | None = None
-        self._thread: threading.Thread | None = None
-        self._frame: bytes = b""
-        self._lock = threading.Lock()
+        self._encoder: H264Encoder | None = None
+        self._ffmpeg: subprocess.Popen[bytes] | None = None
+        self._output: PipeOutput | None = None
+        self._ready_event = threading.Event()
+        self._watch_thread: threading.Thread | None = None
         self._stop_event = threading.Event()
-        self._frame_event = threading.Event()
         self.running = False
 
     def start(self) -> None:
         if self.running:
             return
+
+        # prepare HLS output directory
+        if HLS_DIR.exists():
+            shutil.rmtree(HLS_DIR)
+        HLS_DIR.mkdir(parents=True)
+
         if not PICAMERA_AVAILABLE:
             logger.info("Mock camera started")
             self.running = True
             return
 
+        # start ffmpeg: reads raw H.264 from stdin, writes HLS segments
+        ffmpeg_cmd = [
+            "ffmpeg",
+            "-loglevel",
+            "warning",
+            "-f",
+            "h264",  # input is raw H.264
+            "-i",
+            "pipe:0",  # read from stdin
+            "-c:v",
+            "copy",  # no re-encoding — pass through directly
+            "-hls_time",
+            str(SEGMENT_DURATION),
+            "-hls_list_size",
+            str(SEGMENT_COUNT),
+            "-hls_flags",
+            "delete_segments+append_list",
+            "-hls_segment_filename",
+            str(HLS_DIR / "seg%03d.ts"),
+            str(HLS_DIR / "stream.m3u8"),
+        ]
+
+        self._ffmpeg = subprocess.Popen(
+            ffmpeg_cmd,
+            stdin=subprocess.PIPE,
+            stdout=subprocess.DEVNULL,
+            stderr=subprocess.PIPE,
+        )
+        self._output = PipeOutput(self._ffmpeg)
+
+        # configure picamera2 with H.264 encoder
         self._picam = Picamera2()
-        config = self._picam.create_still_configuration(
-            main={"size": (1280, 720), "format": "RGB888"},
+        config = self._picam.create_video_configuration(
+            main={"size": (1280, 720)},
         )
         self._picam.configure(config)
-        self._picam.start()
+        self._encoder = H264Encoder(bitrate=BITRATE)
+        self._picam.start_recording(self._encoder, FileOutput(self._output))
+
+        # watch for the playlist to appear — signals first segment is ready
         self._stop_event.clear()
-        self._frame_event.clear()
-        self._thread = threading.Thread(target=self._capture_loop, daemon=True)
-        self._thread.start()
+        self._ready_event.clear()
+        self._watch_thread = threading.Thread(target=self._watch_playlist, daemon=True)
+        self._watch_thread.start()
         self.running = True
-        logger.info("Camera started")
-
-    def _capture_loop(self) -> None:
-        assert self._picam is not None
-        self._stop_event.wait(0.5)
-        logger.info("Capture loop: starting")
+        logger.info("Camera started — waiting for first HLS segment")
 
+    def _watch_playlist(self) -> None:
+        """Signal ready once the m3u8 playlist exists and has at least one segment."""
+        playlist = HLS_DIR / "stream.m3u8"
         while not self._stop_event.is_set():
-            try:
-                logger.info("Capture loop: attempting capture_array")
-                array = self._picam.capture_array("main")
-                logger.info(f"Capture loop: got array {array.shape}")
-                buffer = io.BytesIO()
-                img = Image.fromarray(array)
-                img.save(buffer, format="JPEG", quality=85)
-                frame = buffer.getvalue()
-                logger.info(f"Capture loop: encoded JPEG {len(frame)} bytes")
-                with self._lock:
-                    self._frame = frame
-                    self._frame_event.set()
-                logger.info("Capture loop: frame event set")
-            except Exception as e:
-                logger.error(f"Capture loop ERROR: {e}", exc_info=True)
-                self._stop_event.wait(0.1)
+            if playlist.exists():
+                content = playlist.read_text()
+                if ".ts" in content:
+                    logger.info("HLS playlist ready")
+                    self._ready_event.set()
+                    return
+            time.sleep(0.25)
+
+    def wait_until_ready(self, timeout: float = 15.0) -> bool:
+        if not PICAMERA_AVAILABLE:
+            return True
+        return self._ready_event.wait(timeout)
 
     def stop(self) -> None:
         if not self.running:
             return
         self._stop_event.set()
-        self._frame_event.set()  # unblock any waiting frames() calls
-        if self._thread:
-            self._thread.join(timeout=3)
+        self._ready_event.set()  # unblock any waiters
+
         if self._picam:
-            self._picam.stop()
+            self._picam.stop_recording()
             self._picam.close()
             self._picam = None
-        self._frame = b""
+
+        if self._output:
+            self._output.close()
+
+        if self._ffmpeg:
+            try:
+                self._ffmpeg.wait(timeout=5)
+            except subprocess.TimeoutExpired:
+                self._ffmpeg.kill()
+            self._ffmpeg = None
+
+        if HLS_DIR.exists():
+            shutil.rmtree(HLS_DIR)
+
         self.running = False
         logger.info("Camera stopped")
 
-    def get_frame(self) -> bytes:
-        with self._lock:
-            return self._frame
-
-    def wait_for_first_frame(self, timeout: float = 5.0) -> bool:
-        """Block until the first frame is captured, or timeout."""
-        return self._frame_event.wait(timeout)
-
-    def frames(self) -> Iterator[bytes]:
-        """Yield JPEG frames as they are captured."""
-        # wait for first real frame before yielding anything
-        if not self.wait_for_first_frame():
-            logger.error("Timed out waiting for first frame")
-            return
-        while self.running:
-            frame = self.get_frame()
-            if frame:
-                yield frame
-            self._stop_event.wait(0.033)  # ~30fps cap
+    @property
+    def hls_dir(self) -> Path:
+        return HLS_DIR
 
 
 camera = Camera()
diff --git a/src/templates/index.html b/src/templates/index.html
index 1121e31..6ede01a 100644
--- a/src/templates/index.html
+++ b/src/templates/index.html
@@ -38,23 +38,30 @@
             border: 1px solid #333;
             border-radius: 8px;
             overflow: hidden;
+            position: relative;
             display: flex;
             align-items: center;
             justify-content: center;
-            color: #555;
-            font-size: 0.9rem;
         }
 
-        #preview img {
+        #stream-video {
             width: 100%;
             height: 100%;
             object-fit: cover;
             display: none;
         }
 
+        #placeholder {
+            color: #555;
+            font-size: 0.9rem;
+        }
+
         .controls {
             display: flex;
             gap: 1rem;
+            align-items: center;
+            flex-wrap: wrap;
+            justify-content: center;
         }
 
         button {
@@ -94,7 +101,7 @@
 
     <div id="preview">
         <span id="placeholder">Stream not started</span>
-        <img id="stream-img" alt="Camera stream" />
+        <video id="stream-video" autoplay muted playsinline></video>
     </div>
 
     <div class="controls">
@@ -104,39 +111,96 @@
 
     <p id="status"></p>
 
+    <!-- hls.js from CDN -->
+    <script src="https://cdn.jsdelivr.net/npm/hls.js@1/dist/hls.min.js"></script>
     <script>
         const btnStart = document.getElementById("btn-start");
         const btnStop = document.getElementById("btn-stop");
-        const streamImg = document.getElementById("stream-img");
+        const video = document.getElementById("stream-video");
         const placeholder = document.getElementById("placeholder");
         const status = document.getElementById("status");
 
+        let hls = null;
+
         async function postAction(url) {
             const res = await fetch(url, { method: "POST" });
             return res.json();
         }
 
+        async function waitForReady(maxAttempts = 40) {
+            for (let i = 0; i < maxAttempts; i++) {
+                const res = await fetch("/camera/status");
+                const data = await res.json();
+                if (data.ready) return true;
+                await new Promise(r => setTimeout(r, 500));
+            }
+            return false;
+        }
+
+        function startHls() {
+            const src = "/camera/hls/stream.m3u8";
+
+            if (Hls.isSupported()) {
+                hls = new Hls({
+                    lowLatencyMode: false,
+                    backBufferLength: 10,
+                });
+                hls.loadSource(src);
+                hls.attachMedia(video);
+                hls.on(Hls.Events.ERROR, (event, data) => {
+                    if (data.fatal) {
+                        console.error("HLS fatal error:", data);
+                        status.textContent = "Stream error — try restarting";
+                    }
+                });
+            } else if (video.canPlayType("application/vnd.apple.mpegurl")) {
+                // Safari native HLS support
+                video.src = src;
+            } else {
+                status.textContent = "HLS not supported in this browser";
+                return;
+            }
+
+            video.style.display = "block";
+            placeholder.style.display = "none";
+            video.play().catch(e => console.warn("Autoplay blocked:", e));
+        }
+
+        function stopHls() {
+            if (hls) {
+                hls.destroy();
+                hls = null;
+            }
+            video.pause();
+            video.src = "";
+            video.style.display = "none";
+            placeholder.style.display = "block";
+        }
+
         btnStart.addEventListener("click", async () => {
             btnStart.disabled = true;
-            status.textContent = "Starting…";
+            status.textContent = "Starting camera…";
+
             await postAction("/camera/start");
 
-            // small delay to let camera initialise
-            await new Promise(r => setTimeout(r, 500));
+            status.textContent = "Waiting for first segment…";
+            const ready = await waitForReady();
 
-            streamImg.src = "/camera/stream";
-            streamImg.style.display = "block";
-            placeholder.style.display = "none";
+            if (!ready) {
+                status.textContent = "Camera timed out — check Pi logs";
+                btnStart.disabled = false;
+                return;
+            }
+
+            startHls();
             btnStop.disabled = false;
-            status.textContent = "Streaming";
+            status.textContent = "Streaming (H.264 / HLS)";
         });
 
         btnStop.addEventListener("click", async () => {
             btnStop.disabled = true;
             status.textContent = "Stopping…";
-            streamImg.style.display = "none";
-            streamImg.src = "";
-            placeholder.style.display = "block";
+            stopHls();
             await postAction("/camera/stop");
             btnStart.disabled = false;
             status.textContent = "Stream stopped";
diff --git a/tests/test_camera.py b/tests/test_camera.py
index 4a74cff..e16a37b 100644
--- a/tests/test_camera.py
+++ b/tests/test_camera.py
@@ -14,6 +14,11 @@ def client() -> Generator[FlaskClient, Any, Any]:
         yield client
 
 
+def test_heartbeat_status_code(client: FlaskClient) -> None:
+    response = client.get("/heartbeat")
+    assert response.status_code == 200
+
+
 def test_camera_start(client: FlaskClient) -> None:
     response = client.post("/camera/start")
     assert response.status_code == 200
@@ -27,6 +32,19 @@ def test_camera_stop(client: FlaskClient) -> None:
     assert response.get_json()["status"] == "stopped"
 
 
+def test_camera_status(client: FlaskClient) -> None:
+    response = client.get("/camera/status")
+    assert response.status_code == 200
+    data = response.get_json()
+    assert "running" in data
+    assert "ready" in data
+
+
+def test_hls_404_when_not_running(client: FlaskClient) -> None:
+    response = client.get("/camera/hls/stream.m3u8")
+    assert response.status_code == 404
+
+
 def test_index_page(client: FlaskClient) -> None:
     response = client.get("/")
     assert response.status_code == 200