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In this tutorial, the speaker shows how to reduce file size for photos on an iPhone by switching to the high efficiency format in the camera settings. By selecting this format, photos and videos will be captured in a smaller file size compared to the most compatible format (jpeg.h264). Although the quality may not be as high, it still provides great quality images. To do this, go to the camera settings in the iPhone's settings application and select high efficiency under the formats option. This simple adjustment can help save storage space on your device.