SAR image compression is very important in reducing the costs of data stora
ge and transmission in relatively slow channels. In this paper, we propose
a compression scheme driven by texture analysis, homogeneity mapping and sp
eckle noise reduction within the wavelet framework. The image compressibili
ty and interpretability are improved by incorporating speckle reduction int
o the compression scheme. We begin with the classical set partitioning in h
ierarchical trees (SPIHT) wavelet compression scheme, and modify it to cont
rol the amount of speckle reduction, applying different encoding schemes to
homogeneous and nonhomogeneous areas of the scene. The results compare fav
orably with the conventional SPIHT wavelet and the JPEG compression methods
.