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In this tutorial, the instructor demonstrates how to compress large images in Photoshop. They start by importing a 12.5 megabyte image and then adjusting the image size to prevent pixelation. After changing the width to 1920, the image is saved using the "save for web" option with JPEG format and adjustable quality settings. The size of the compressed image is displayed for reference. Viewers are encouraged to provide feedback and subscribe for more tutorials.