Data compression is the lowering of the number of bits that need to be saved or transmitted and this process is quite important in the internet hosting field due to the fact that data located on hard disk drives is typically compressed in order to take less space. You'll find different algorithms for compressing data and they have different effectiveness based on the content. Many of them remove only the redundant bits, so that no data can be lost, while others erase unnecessary bits, which leads to worse quality once the particular data is uncompressed. This process consumes plenty of processing time, therefore an internet hosting server needs to be powerful enough in order to be able to compress and uncompress data instantly. One example how binary code may be compressed is by "remembering" that there are five sequential 1s, for example, as an alternative to storing all five 1s.