In this paper, the JPEG2000 encoder with fast Embedded Block Coding with Optimized Truncation (EBCOT) algorithm is implemented with Philips TriMedia TM-1300. EBCOT is the most important technology in the latest image coding standard, JPEG2000.Our aim is to use the advantage between fast EBCOT algorithm and DSP. Fast EBCOT algorithm on JPEG2000 can enhance the ability of image and commercial applications. Therefore, the feasibility and cost of implantation is the key issue. The proposed design can be implemented on TM-1300 platform quickly, and the design time and cost can reduce largely. The fast algorithm used on EBCOT context model can reduce the clock cycle to 32%~38% comparing to the original one.