Spotlighting and other special effects are applied by processing circuitry in real time to received video streams. Effects tracking may be applied to fixed regions or moving regions or objects of interest. Viewers interact via conventional remote controls and other user interfaces to set effect parameters. Other special effects employed include zooming, masking, etc. and can be used to enhance one or more spotlight effects. Televisions, set top boxes and media players house the underlying circuitry. Effects are applied to layered and non-layered video streams to form layered and combined video stream output. Video outputs also deliver effect parameters such as region of interest location along with a video stream. Such effect parameters assist in the downstream application of dynamic effects.