TerraCodec: Compressing Optical Earth Observations

Earth observation (EO) satellites produce massive streams of multispectral image time series, posing pressing challenges for storage and transmission. Yet, learned EO compression remains fragmented and lacks publicly available, large-scale pretrained codecs. Moreover, prior work has largely focused on image compression, leaving temporal redundancy and EO video codecs underexplored. To address these gaps, we introduce TerraCodec (TEC), a family of learned codecs pretrained on Sentinel-2 EO data. TEC includes efficient multispectral image variants and a Temporal Transformer model (TEC-TT) that leverages dependencies across time. To overcome the fixed-rate setting of today's neural codecs, we present Latent Repacking, a novel method for training flexible-rate transformer models that operate on varying rate-distortion settings. TerraCodec outperforms classical codecs, achieving 3-10x higher compression at equivalent image quality. Beyond compression, TEC-TT enables zero-shot cloud inpainting, surpassing state-of-the-art methods on the AllClear benchmark. Our results establish neural codecs as a promising direction for Earth observation. Our code and models are publically available at https://github.com/IBM/TerraCodec.