[redhead]

1)Use <iframe>

2)

<applet style="" adblockframename="adblock-frame-n1"
 adblockframedobject="true" adblockmatch="" adblocktype="5"
 adblocklocation="http://200.47.122.70:8000/MovieApplet"
 adblockdata="true" id="MoviePlayer" archive="MovieApplet.jar"
 code="MovieApplet" codebase="http://200.47.122.70:8000" align="top"
 height="481" hspace="0" vspace="0" width="641">
        <param name="liveFileName" value="__live.jpg">
        <param name="playFileName" value="__play.jpg">
        <param name="screenWidth" value="640">
        <param name="screenHeight" value="480">

        <param name="viewWidth" value="640">
        <param name="viewHeight" value="480">
        <param name="directControl" value="1">
        <param name="userid" value="">
        <param name="password" value="">
        <param name="timeout" value="5000">
        <param name="port" value="8000">
</applet>

The viewWidth and viewHeight sets the current size of the shown image, just keep the screenWidth and screenHeight at the same value.

Take a look at the code of that "live feed" page, it has a nifty zoom manager aswell, which is handlet by some javascript