The compression process refers to the method of reducing the size of data or files to save space or improve transmission speed. This is achieved by eliminating redundant information and using algorithms to encode the data more efficiently. Common examples include compressing images, videos, and documents. There are two main types of compression: lossy and lossless. In lossy compression, some data is permanently removed, which can lead to a decrease in quality, while lossless compression retains all original data, allowing for perfect reconstruction. Popular formats include JPEG for images and ZIP for files.