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What about in-memory Compression?
What if we used an compression routine for the hbin format that was designed for in-memory representations? What changes?
Compression routines compared: http://terpconnect.umd.edu/~barua/matt-compress-tr.pdf
One approach would be to divide the input data into blocks and compress each block individually. Then they can be loaded/decompressed independently. This approach might also solve some of the IO-bound problems.