JPG, or JPEG (Joint Photographic Experts Group), is one of the two most popular image formats used on the Internet. It is optimized for photographs and other continuous tone images, but does not do very well with line art, screenshots, cartoons and other high contrast images. It provides variable compression. The compression loses some of the original data, but does so by exploiting the fact that small changes in color are less noticeable than changes in brightness. It does not support transparency or layers. Chances are that Visio is creating a JPG using less than true 24 bit high-compression format.
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This was first published in February 2004