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I want to know compression technique used by orkut/facebook albums which compresses image without losing the quality(visually) Or the alternative way to achieve the same effect

+1  A: 

Facebook albums do lose quality, they are significantly downscaled and converted to jpg. Just compress your pictures as jpg, and downscale if needed. If it is not done too much then as long as the picture isn't too large (quite a bit smaller than the original) there will no discernible loss of quality at that size. Zoom in or make the compressed picture larger and the differences will become apparent.

Callum Rogers