Yes, Instagram compresses Reels to decrease the loading time and reduce file size. This compression can sometimes lead to a slight reduction in video quality, especially if the original video had high-resolution and high-bitrate content.
However, you can turn this automatic setting off. Here’s how:
Go to the Main menu > Settings and Privacy
Scroll down to Data Usage and Media Quality
Under Media upload quality, turn on ‘Upload at highest quality’
Now, all your media files, including photos and videos, will be uploaded to the highest quality.