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Yeah, RAR or 7Z also compress in .zip formats.
I've read about 5 years ago or so, that this one guy optimized the dos based zip.exe compression program to better compress text (for ebooks).
I'm still trying to figure out who that guy was, and what the name of the program was. It also left mimetype uncompressed in the archive, but supposedly his program compressed the text by a lot better than a standard zip program; and was very easy to use in DOS, as it was a one command compression program.
THere's a lot that comes into place, making an epub.(learn HTML, XML, EPuB format, and compression formats), but it sure is interesting!
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