Compression is a process of reducing the actual size of a file stored on the hard disk. The compression that is available only on NTFS-formatted volumes is called NTFS compression. The following rules are applied to the compressed files or folders when they are moved or copied from one location to another:
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When files and folders are moved within the same NTFS volume, they retain their original state.
When files and folders are copied within the same NTFS volume, the original compression attribute is lost and the files and folders inherit the compression attribute of the destination folder.
When files and folders are moved or copied between NTFS volumes, the files and folders inherit the compression attribute of the destination folder.
Note: File compression is available on a Windows XP Professional computer only on NTFS volumes.
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