In plain language
Display Stream Compression is a light, real-time compression developed by VESA. It is described as visually lossless: measurably not identical to the original, but designed so the difference is not visible in normal viewing. Compression ratios of roughly 3:1 are typical.
Why it matters in your setup
Some formats simply do not fit in 48Gbps uncompressed. 8K60 at full chroma is one. DSC is what makes them possible, and it is why a specification sheet may list a mode “+ DSC”.
The requirement is that both ends support it and negotiate it. A source that can do DSC and a display that cannot will fall back to a lower mode — usually correctly, occasionally with an unexpected result. Because DSC support is declared in the capability data, an EDID that fails to carry it through is enough to lose the mode.
What the DR HDMI 8K does with it
The DR HDMI 8K lists 8K30 4:2:2 12-bit with DSC among its supported maximum modes, and passes the full 48Gbps needed to reach it. Its DisplayID support matters here too: modern displays declare DSC in the larger EDID blocks, and those blocks have to survive the trip to the source intact.
Need the hardware?
Open the DR HDMI 8K product page on HDfury.uk.