LZW is a lossless data compression algorithm that uses a dynamically created dictionary to convert data strings into codes. It is commonly used in GIF image formats, certain TIFF image variants, and PDF files. The algorithm works by building shorter dictionary codes of recurring data strings and compressing the data efficiently. The code table stores character sequences from the input data and allows the algorithm to recognize and compress repetitive patterns efficiently. LZW compression is a lossless method, meaning that the original data can be restored without any loss of quality. However, it has limitations, including being less effective on non-repetitive data, historical patent issues, and demanding significant memory. The algorithm can handle new or unseen data by adding it to the dictionary and outputting the code for its known prefix. LZW compression can be used to compress encrypted data, but it does not provide additional security. To handle performance issues, optimized libraries, parallel processing, and caching frequently accessed decompressed data can be used. Memory issues can be handled by using adaptive techniques that reset or shrink the dictionary when it reaches a certain size.
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