Steganography is art of hiding data using a image is discussed in this paper.This is done by using the encryption and decryption techniques.Internet security is a big issue nowadays. Specially the areas where highly confidential and secret data is needed to be transferred, there is a possibility that confidential data might be hacked. So, it is necessary to provide a high level of security to the secret data. Hence we have built a device which can capture an image in real time and send it over

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... nternet. We have built a device that can be used to transfer secret data over internet.Using this device encrypted data will be hidden inside an image with help of the rc4 algorithm and then it will be transferred to respective destination.Where it is decrypted and original message is obtained and delivered