What type of file format is considered lossy?

The correct choice, MP3, is considered a lossy file format because it uses compression techniques that reduce file size by permanently eliminating certain audio data deemed less essential for the perception of sound quality. This process results in a smaller file that may lose some fidelity in comparison to the original audio.

In contrast, WAV files are typically uncompressed, retaining all original audio data, thus providing higher sound quality without any loss. HTML is a markup language used for creating web pages and does not pertain to audio or image compression. FTP, or File Transfer Protocol, is a standard network protocol used for transferring files between a client and server but does not represent a file format at all. Understanding these distinctions is essential for recognizing how different technologies handle data storage and transmission.