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In this video tutorial, the speaker shows how to reduce the file size of photos on an iPhone. The first step is to go to the settings application and select the camera option. Switching the format to high efficiency will reduce the file size, although the quality may be slightly compromised. This setting captures photos and videos in a different format than the default option, resulting in smaller file sizes. This simple adjustment can help free up storage on your device without sacrificing too much image quality.