AMD media foundation HW decoders & encoders

I recently bought my first AMD video card. When I went to install its drivers, the setup showed me this: "AMD media foundation hardware decoders and encoders". What is it? Should I install it together with K-lite?

I have searched at AMD.com, and it doesn't come with anything. I have googled around and there's just possibly one direct answer about it, but it seems vague enough.

Bonus: There's another option in their setup, AMD drag and drop transcoding. How do I use this, is it worth it?

Windows 7 has the ability to send files to a portable media device through the "send to" menu in Windows Explorer. It can automatically transcode (read: convert) a file into a format that is supported by the media device.
There are several reasons why this functionality isn't more known to the masses. First of all, not all portable media devices are compatible, including popular ones like iPod and Zune. Secondly, it can only convert files that can be decoded with Media Foundation.
So this transcoding functionality is only useful to you if you have a compatible media player, and you need to convert videos to put on it.
The AMD stuff does not add any new functionality. The relevant video formats are already supported by Windows by default. The only difference is that the AMD ones are hardware accelerated, meaning it will use your graphics card to speed things up a little.

My advice:
The AMD decoders/encoders are not really useful.
But it also should not cause any problems if you do decide to install them.
The codec pack also offers optional hardware accelerated playback. With the benefit that it works in all DirectShow players, and not just in Windows Media Player (which is one of the few applications that can also use Media Foundation).

OK, thank you very much for your answers.