A method and system for gracefully reducing demands for shared decompression resources required to present multiple video streams concurrently such that their streaming video content is simultaneously available for further processing or display. In particular, it relates to the use of presentation time stamps for incoming frames with reference to a time base clock and a threshold to determine if the decompression resources are falling behind in their ability to process incoming frames in real time. If this occurs then frames are dropped, i.e. discarded without being decompressed, with preference given to dropping incremental frames rather than key frames.