Home > Wiki Tips

What Is Data Compression? Where Is It Used?

Updated on Wednesday, February 26, 2025

iBoysoft author Sherry Song

Written by

Sherry Song
Professional tech editor

Approved by

Jessica Shee

English Français Deutsch やまと Español Português

Summary: You must have compressed files on your computer. But what is data compression? Let iBoysoft guide you through a brief introduction to it, including the differences between Lossless compression and Lossy compression.

What is data compression?

 

Data compression is a technique used to reduce the size of digital data, making it easier to store, transmit, and process.

By eliminating redundancies, data compression optimizes storage space and enhances the efficiency of data transfer over networks.

Data compression plays a crucial role in various applications, including file storage, streaming, and communications. You can learn how to compress files or folders on Mac. Today, let's take a deep look at it.

How does data compression work?

Data compression is like using smart tricks to make files or data smaller without losing important information. Basically, it looks for patterns in the data and then represents that information in a simpler, more efficient way.

For example, if there's a lot of repeated stuff in the data, the compression algorithm replaces those repetitions with shorter codes. Common methods include using a dictionary to track repeats, simplifying long sequences of the same value, or assigning shorter codes to frequently used data.

The better the method matches the type of data, the more space you can save!

Types of data compression and their differences

There are two primary types of data compression: lossless data compression and lossy data compression.

Lossless compression

Lossless compression makes files smaller without losing any information. When you uncompress it, you get back the exact same data. This is great for things like text, software, or important images and audio where you need everything to stay perfect.

Examples of lossless compression techniques include:

  • Huffman coding: Assigns shorter binary codes to frequently occurring symbols.
  • Lempel-Ziv-Welch (LZW) compression: Used in GIF and ZIP file formats.
  • Run-Length Encoding (RLE): Replaces sequences of repeated characters with shorter representations.

Lossy compression

Lossy compression makes files even smaller by throwing away some of the less important details. You can't get those details back, so there's a bit of quality loss. This is fine for things like music, videos, or pictures where losing a little quality isn't a big deal. It's all about trading a bit of quality for a much smaller file size.

Common lossy compression techniques include: 

  • JPEG compression: Reduces image file size by discarding non-essential visual details.
  • MP3 compression: Removes inaudible sounds to shrink the audio file size.
  • MPEG compression: Used for video compression by reducing redundant visual data.

Lossless compression vs lossy compression

See the differences between Lossless and lossy data compression in the table below.

Lossless vs lossy data compression

FeatureLossless compressionLossy compression
Data integrityPreservedSome data lost
File size reducingModerateHigh
Use casesText, software, medical imagesPhotos, videos, music
ReversibilityFully reversibleIrreversible

Is this helpful? Why not share this table?

 

Advantages, disadvantages, and uses of data compression

ProsCons
Save storage spaceLoss of quality
Faster transmissionProcessing overhead
Improved data processing efficiencyMay not support certain compression algorithms

So data compression is widely used in various fields, including:

  • File storage: Reduces disk space requirements for documents, images, and videos.
  • Networking & communication: Enhances data transfer speeds by reducing payload size.
  • Multimedia streaming: Enables efficient transmission of audio and video content over the internet.
  • Cloud computing: Optimizes bandwidth usage and storage costs in cloud environments.
  • Big data processing: Speeds up data analysis by reducing file sizes for large datasets.

Data compression is an essential technology that optimizes storage, enhances data transmission, and improves system performance. 

Whether using lossless or lossy methods, the choice of compression technique depends on the type of data and its intended application. As data volumes continue to grow, efficient compression techniques will remain critical in managing digital resources effectively.

Please share our article~