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In this video tutorial, the process of reducing the size of a PDF file without losing quality is demonstrated. The original file size is 4.1 MB. To compress the file, viewers are instructed to click on a provided link, select the PDF file from their desktop, and choose between extreme compression for text-only files or recommended compression for files containing images. After selecting the compression level, users can click on compress PDF to start the process. Once completed, the download will begin, and the reduced file size will be shown as 76% smaller, decreasing from 4.1 MB to a smaller size.