A method and apparatus are described for generating a display data stream for transmission to a remote display. A display control unit in a processor is configured to multiplex the outputs of a plurality of display controllers to generate a video data stream. A video compression engine (VCE) in the processor receives the video data stream directly from the display control unit without having to go through an external memory or an external display interface. The VCE compresses the video data stream, and optionally encrypts the video data stream. In one embodiment, audio and video data streams may be synchronized into a multiplexed, (and optionally encrypted), audio/video stream before being forwarded for transmission to a remote display. In another embodiment, separate audio and video streams (optionally encrypted) may be forwarded for transmission to the remote display.