A raw image is the image captured by the sensor. If you display that image directly it looks very different from what the human eye would see.
Raw images essentially have significantly more colour data than a BMP. That’s why it’s good to keep them if you want to adjust the lighting and colour in the final image.
The conversation from a raw image to a BMP isn’t compression, it’s more like a “translation” to make the colours suitable for humans.
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