What does "compression ratio" refer to in video technology?

In video technology, "compression ratio" specifically refers to the ratio of uncompressed video size to compressed video size, indicating how effectively storage is utilized. When video files are compressed, their size is reduced to save space and make them easier to transmit over networks. The compression ratio provides insight into the level of reduction achieved; for example, a compression ratio of 10:1 means that the uncompressed video size is ten times larger than the compressed version. This metric is crucial for determining how much storage capacity is required for video data and how efficient the compression method is in maintaining video quality while reducing file size. Understanding this concept is fundamental for efficiently managing video data in surveillance and streaming applications.