Color Cell Compression is a lossyimage compression algorithm developed by Campbell et al.,[1][2][3] in 1986, which can be considered an early forerunner of modern texture compression algorithms, such as S3 Texture Compression and Adaptive Scalable Texture Compression. It is closely related to Block Truncation Coding,[4] another lossy image compression algorithm, which predates Color Cell Compression, in that it uses the dominant luminance of a block of pixels to partition said pixels into two representative colors. The primary difference between Block Truncation Coding and Color Cell Compression is that the former was designed to compress grayscale images and the latter was designed to compress color images. Also, Block Truncation Coding requires that the standard deviation of the colors of pixels in a block be computed in order to compress an image, whereas Color Cell Compression does not use the standard deviation. Both algorithms, though, can compress an image down to effectively 2 bits per pixel.
^Campbell, G.; Defanti, T. A.; Frederiksen, J.; Joyce, S. A.; Leske, L. A. (1986). "Two bit/pixel full color encoding". Proceedings of the 13th annual conference on Computer graphics and interactive techniques - SIGGRAPH '86. p. 215. doi:10.1145/15922.15910. ISBN978-0-89791-196-2. S2CID18392630.