The upcoming JPEG 2000 image compression standard is expected to replace the well-established JPEG format. It offers a wide range of data compressions, from lossless up to highest rates of lossy compression, in conjunction with a variety of useful new features which will presumably increase its popularity. Confident press reports suggest breakthroughs in image compression prospects. However, in the final analysis the most decisive factor in JPEG 2000's commercial acceptance will be its visual quality attributes. Accordingly, this article presents extensive estimations of the visually perceived image quality of JPEG 2000 compressions in comparison with JPEG. The study focuses exclusively on lossy data compression and its default settings. From the viewpoint of quality assessments commonly used in graphic arts industry, we present different types of interactive quality ratings applied to large data sets for characterizing image distortions at varying compression rates. In addition, the results are compared with PSNR considerations. The objective of this study is to arrive at an estimation of the potential benefits of JPEG 2000 relative to the JPEG standard with respect to compression quality, and in particular with regard to the requirements of the graphic arts industry.