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Entropy coding

In information theory, an entropy coding is any lossless data compression method that attempts to approach the lower bound declared by Shannon's source coding theorem, which states that any lossless data compression method must have an expected code length greater than or equal to the entropy of the source.

Intuitive explanation
Entropy coding exploits the fact that some symbols occur more frequently than others. When symbol probabilities are unequal, some outcomes are more predictable, and this predictability can be used to represent the data in fewer bits. Conversely, when all symbols are equally likely, each symbol carries the maximum possible amount of information and no compression is possible. == Entropy as a measure of similarity ==
Entropy as a measure of similarity
Besides using entropy coding as a way to compress digital data, an entropy encoder can also be used to measure the amount of similarity between streams of data and already existing classes of data. This is done by generating an entropy coder/compressor for each class of data; unknown data is then classified by feeding the uncompressed data to each compressor and seeing which compressor yields the highest compression. The coder with the best compression is probably the coder trained on the data that was most similar to the unknown data. This approach is grounded in the concept of normalized compression distance, a parameter-free, universal similarity metric based on compression that approximates the uncomputable normalized information distance. == See also ==
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