I'm building an application where I'd like to add watermarking on the fly to adaptive bitrate streams by building the SMIL files dynamically after file ingest (though for demo purposes, just to integrate into the bigbuckbunny.smil file).

Is it possible to add an overlay (either basic text or pre-generated image) to an SMIL file, perhaps in the SMIL body?

I believe the transcoder addon will perform this functionality, but I need this in a VOD environment.