New package version here: http://sage.math.washington.edu/home/timdumol/libjpeg-7.p2.spkg

As stated in #7818, some makefiles depend on $RM being unset or set to "rm -f". The above code overrides any $RM setting, which otherwise causes compilation failure (at least for me).

I am unsure of the GPL compatibility of libjpeg's licensing, but this message on: http://www.mail-archive.com/mozilla-license@mozilla.org/msg00143.html seems to suggest that it is widely considered GPL compatible. Otherwise, we may want to consider libjpeg-turbo (http://sourceforge.net/projects/libjpeg-turbo/) and patch PIL to use that.

Regarding review of this package:

The package may be reviewed by using the PIL package, as above:

sage: import Image
sage: im = Image.open("<your-jpeg-file-here>")
sage: im.resize((im.size[0]/2,im.size[1]/2))
sage: print im.format, im.size, im.mode
TIFF (455, 495) 1
sage: im.show()
sage: im.save("wherever.jpg")