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Today's tutorial teaches how to reduce an Excel file size from 16.4MB to under 50KB by converting it to a tabular format with rows and columns, avoiding blank spaces. After downloading a sample file containing various data, the first step is to save it as an Excel file by using the "Save As" function and changing the format to Excel. This simple process reduces the file size to 3.18MB, showing that significant compression is possible without losing data.