Technology innovation

New Compression Algorithm Reduces Video Bandwidth Without Quality Loss

Meta Unveils AI-Driven Video Compression Algorithm That Cuts Bandwidth by 50% Without Quality Loss

San Francisco, CA – December 2, 2025 Meta today announced the development of a next-generation AI-powered video compression algorithm capable of reducing video bandwidth usage by up to 50% without compromising visual quality. The breakthrough, which leverages machine learning to dynamically optimize compression based on content and network conditions, is set to redefine how high-resolution video is delivered across platforms like Facebook, Instagram, and WhatsApp.

With global video traffic accounting for over 80% of internet usage, the demand for efficient, scalable compression solutions has never been more urgent. Meta’s new algorithm addresses this challenge by intelligently analyzing video frames in real time, selectively compressing less perceptually important data while preserving critical visual details. This approach not only maintains high-definition quality but also significantly reduces buffering and data consumption, particularly on mobile networks.

“This isn’t just an incremental improvement—it’s a paradigm shift,” said Alex Martin, Vice President of Engineering at Meta. “By integrating AI into the encoding pipeline, we’re able to deliver smoother, faster, and more reliable video experiences to billions of users, regardless of device or connection speed.”

Unlike traditional codecs such as H.264 or VP9, which rely on static encoding rules, Meta’s AI compression adapts to scene complexity, motion patterns, and user bandwidth. According to internal benchmarks, the algorithm reduces bitrate by up to 50% while maintaining the same perceptual quality, outperforming even the most advanced standards like HEVC and AV1. In poor network conditions, the system can reduce bandwidth usage by as much as 70% without degrading playback quality.

The implications are significant for both consumers and businesses. For users, the technology translates to faster video startup times, fewer interruptions, and lower data usage—critical benefits in emerging markets where mobile data is costly and connectivity is inconsistent. For content providers and streaming platforms, the compression efficiency means lower CDN costs, reduced energy consumption, and the ability to scale 4K and 8K content without overburdening infrastructure.

Meta’s AI compression is also designed to be codec-agnostic, meaning it enhances existing standards like H.264, HEVC, and AV1 rather than replacing them. This ensures backward compatibility across devices and platforms, from smart TVs to low-end smartphones. The system is already being tested in select markets and is expected to roll out globally across Meta’s video ecosystem in Q1 2026.

The development aligns with broader industry trends toward AI-enhanced media processing. A recent report by SuperAgi found that AI-powered compression can reduce storage and CDN bandwidth costs by up to 30%, while improving video startup times by 20% and reducing buffering by 30%.

These gains are particularly relevant as streaming services face mounting pressure to deliver high-quality content sustainably and cost-effectively.

Meta’s innovation also supports adaptive bitrate streaming, a technique that adjusts video quality in real time based on network performance. By pre-processing video with AI, the algorithm ensures that each quality tier is optimized for minimal bandwidth usage, enabling smoother transitions and better viewer retention.

“We’re not just solving today’s problems—we’re building for the next decade of video consumption,” Martin added. “As video formats evolve and user expectations rise, AI will be central to keeping the internet fast, affordable, and accessible for everyone.”

About Meta

Meta builds technologies that help people connect, find communities, and grow businesses. Since 2004, the company has evolved from a social networking platform to a global leader in immersive digital experiences. Today, Meta’s apps and services—including Facebook, Instagram, Messenger, and WhatsApp—serve more than 3.9 billion people worldwide.