MPEG (1, 2, 4 and so) compresion means that you have a key frame and all the frames after are not isolated but are calculated related to the key frame (basically, in reality there are some small diferences but the simple ideea is this one) and the information is just about the pixels that are changed from the previous frame. If you have independent frames an 352x288@29,97 video file of about 1h20min will have around 16 GB (more or less). In fact it's just a VCD (around 750 MB)
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