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JPEGs are for photos only.
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That's not entirely accurate, they should be used when the image contains a large color pallet. Gifs start to have trouble when fades and gradients are used, for example. You can also lose the gif size advantage if you use a large image that contains a lot of color changes (like text) even if there are a small number of colors.
Gifs should be used when there are larger solid color areas in the image. And depending on the transparency needed, you can get just as clean an edge as a png (at least as far as the eye can tell, which is all that matters) if you used the correct matte color and the background is not too complex.
You are correct that a PNG will usually give you the best quality results, however they will rarely give you the smallest filesize. When working with images that will display in a web browser, filesize should be exactly as important (sometimes more important) than the actual visual quality of the image. It's important to weigh the importance of clarity in your image with the size of the file that will be generated, and the reason why jpgs are used much more often than pngs is because honestly with a png you are not properly balancing these two criteria. If you have a fancy jpg optimizing program (like photoshop) it's a snap to get exactly the balance you want between quality and filesize.
The only time I typically use a png is if I want to get crazy with some overlaping gradients, or use transparencies over complex backgrounds. As for the higher quality, some may prefer png, but I find that I've never met anybody who can tell the visual difference between a png24 and a jpg set at 90+ quality.
Same reason why most people don't care if their mp3 is above 128bit, because 95% of people can't tell the difference anyway.
Oh, and...
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PNG (particularly PNG24 or higher) is superior to GIF in that it produces smaller, crisper images.
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Sometimes but not always. There are no hard and fast rules about which is better because they all have their own strengths (except bmp, I hate bmp) and the best you can do is learn the strengths of each format so you know when to use what.
Here's a pretty good article that explains exactly what each file format is good at.
http://snook.ca/archives/design/which_image_for/
Last edited by relic200; 08-17-2009 at 11:24 PM..
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