This paper presents our ongoing research activity to design and implement a framework for an networked virtual environment (NVE) that efficiently supports both hardware and software heterogeneity. In the proposed framework, three new techniques, application layer multicast transmission-rate pruning, fairness control for delay-sensitive activities (token-bucket algorithm) and bandwidth compensation by a combination of server-side and client-side dead reckoning, are designed, proposed and integrated in the new framework that supports heterogeneous networks and end systems. Categories and Subject Descriptors C.2.1 [Computer-Communication Networks]: Network Architecture and Design – Network communications, Network topology; C.2.4 [Computer-Communication Networks]: Distributed Systems – Client/server, Distributed applications; I.3.7 [Computer Graphics]: Three-Dimensional Graphics and Realism – Virtual reality General Terms Design, Performance Keywords Networked virtual environments, ...