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GIFs vs JPEGs on the Web
There are two basic image file formats that a designer can use on webpages. They are the GIF (Graphical Interchange Format) and the JPEG (Joint Photographic Experts Group) image formats. They each have their limitations and their advantages so, which is best? It depends mostly on the specific use.

a full-color, JPEG image
 
a GIF image with 64 colors
 
a GIF image with 16 colors
 

GIF files use the index color mode which means that the files can have a maximum of 256 colors in them. The key is that I said a maximum number of colors. Through image editing software like Photoshop and Fireworks, a designer can rework colors so that an image looks the same but uses fewer colors. Depending on the image and the designer's skills, you may be able to significantly reduce an image's file size through color reduction. Small images are ideal for webpages and offer shorter download times. Some images, particularly those with a small range of colors in them, work very well for this purpose. Other images, particularly ones with a wide range of colors, don't work as well.

JPEG files use 24-bit color and can be saved in either RGB or CMYK mode. (For the purposes of this discussion we'll assume that the JPEGs are saved in RGB mode as that's what is used on the Web.) A designer can't shrink a JPEG's color palette but he/she can compress the image file size. JPEG compression is "lossy" and actually discards information from an image. The more that an image is compressed, the more information is discarded and the smaller a file will be. The tradeoff for compression is that the image may deteriorate as well. In moderation, this compression is very helpful for creating small files for fast downloading.

The best way to determine which of these two file options work best for a particular situation is to consider what kind of image it is. Using image software, like Fireworks, one can test which file format looks best and produces the smallest image file. It's often a bit of a compromise but be assured visitors to the site will appreciate the fast download times that the image work gives them.

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