MrSID vs LAZ: Comparing LiDAR Compression Formats
- GeoWGS84 Corp

- Feb 2
- 3 min read
LiDAR has changed how people do modern mapping, surveying, forestry, transportation, utilities and smart cities. LiDAR sensors produce huge amounts of point cloud data that need to be efficiently compressed for storage and distribution and performance as well. Two of the most talked about formats in the LiDAR ecosystem are MrSID and LAZ.

Why LiDAR Compression Matters
LiDAR data files are very large (up to terabytes) and without any way to compress this information, companies experience:
Increasing costs related to storage and infrastructure
Slower data transfer and sharing
A performance bottleneck for the visualization and analysis of LiDAR data
Inability to scale their enterprise geospatial systems
For an ideal LiDAR compression format, the formats must optimise the four aspects of compression efficiency, data fidelity (accuracy), scalability and performance; they must not simply reduce the physical size of LiDAR data files.
What Is MrSID?
MrSID® (Multiresolution seamless image database) is a mature and highly adopted format for geospatial data compression created by LizardTech, which is a privately held corporation.
Provide high-performance compression
Allow multiresolution access to data
Stream and visualize efficiently
Scale to enterprise-level sizes
In conclusion, MrSID LiDAR provides the ability for the storage of the LiDAR data, but also the ability to optimize how to access, visualize and distribute this data in an efficient manner.
What Is LAZ?
The LAZ file format is the older standard LiDAR file format LAS in compressed form with lossless compression enabled and can be used for:
Archival Storage
Interoperating with open source tools
Simple, file based workflows
LAZ can be used for reducing file sizes and keeping the full original point data of the LiDAR data, making them a popular format for exchanging data and preserving data for long periods of time.
MrSID vs LAZ: Key Technical Comparison
Compression Approach
MrSID
Supports both lossless and controlled lossy compression
Allows higher compression ratios while maintaining analytical accuracy
Optimized for visualization and rapid access
LAZ
Lossless compression only
Compression ratios are consistent but limited by full data preservation
Why MrSID shines: The option for visually lossless or analytically safe lossy compression enables organizations to dramatically reduce storage while maintaining fit‑for‑purpose accuracy.
Performance and Scalability
MrSID
Built for enterprise‑scale datasets
Enables fast access to subsets of massive point clouds
Supports efficient streaming over networks
LAZ
File‑based access model
Performance depends on full file reads and local processing
MrSID advantage: Multiresolution architecture allows users to work with extremely large LiDAR collections without loading entire datasets into memory.
Visualization and User Experience
MrSID
Designed for high‑performance visualization
Enables rapid pan, zoom, and roam of LiDAR data
Ideal for interactive applications and web delivery
LAZ
Visualization performance depends on the consuming software
Often requires preprocessing or tiling for large datasets
Why this matters: MrSID delivers a smoother, faster user experience—especially critical for analysts, decision‑makers, and real‑time workflows.
Data Management and Workflow Integration
MrSID
Integrates seamlessly with enterprise geospatial systems
Reduces data duplication
Simplifies distribution of authoritative datasets
LAZ
Best suited for file exchange and storage
Less optimized for centralized enterprise delivery
MrSID strength: Designed for organizations managing LiDAR as a strategic asset, not just individual files.
Standards and Adoption
MrSID
Widely adopted by government agencies and large organizations
Backed by professional support and long‑term development
LAZ
Open format with broad community support
Common in open‑source ecosystems
Both formats are respected and widely used, but MrSID is purpose‑built for mission‑critical, production environments.
MrSID: More Than Just Compression
Unlike other compression methods, MrSID is more than just a compression format; it is an entire technology.
MrSID was developed for the purpose of:
Making LiDAR more useful for users of this technology.
Improving the performance of using LiDAR at scale.
Reducing the cost associated with running the infrastructure to support LiDAR.
Providing quicker access to insights from complex, multi-dimensional data.
By taking an approach that centers around how users of LiDAR actually interact with LiDAR, rather than simply storing data, MrSID enables the user to achieve long-term value throughout their entire data lifecycle.
MrSID and LAZ are significant players in the wider LiDAR Ecosystem. LAZ is best used as an open, lossless interchange format, while MrSID is best known as a high performance, enterprise ready solution to manage and distribute LiDAR at scale.
MrSID can enable organizations to maximize the value of their LiDAR investments by providing a reliable, efficient, and future proof method of managing and delivering LiDAR.
For more information or any questions regarding the LizardTech suite of products, please don't hesitate to contact us at:
Email: info@geowgs84.com
USA (HQ): (720) 702–4849
(A GeoWGS84 Corp Company)




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