Data compression can be lossy or lossless. Data compression is the art of reducing the number of bits needed to store or transmit data. Compression can be either lossless or lossy. Losslessly compressed data can be decompressed to exactly its original value. An example is 1848 Morse Code.
Lossy compression is a data compression method which discards (loses) some of the data, in order to achieve its goal, with the result that decompressing the data yields content that is different from the original, though similar enough to be useful in some way. Lossy methods are especially suitable for natural images such as photos in applications where minor (sometimes imperceptible) loss of fidelity is acceptable to achieve a substantial reduction in bit rate. These methods are most commonly used to compress multimedia data (audio, video, still images), especially in applications such as streaming media and internet telephony.
Lossless data compression on the other hand allows data to be fully reconstructed from the compressed data. For example, it is used in the popular ZIP file format and in the Unix tool gzip and RAR file format in the Windows tool WinRar. It is also often used as a component within lossy data compression technologies. Lossless compression is required for text and data files, such as bank records, text articles, etc. Lossless compression is preferred for archival purposes and often medical imaging, technical drawings, clip art or comics.
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