An improved block adaptive differential pulse code modulation (DPCM) system for compressing a digital image signal by operating on n.times.m blocks of pixel values of the type having a lossy compressor employing means for forming a block of difference pixel values, a set of quantizers, means for selecting a quantizer from the set of quantizers for quantizing the difference pixel values within the block, and means for encoding the quantized difference signals, and means for transmitting the encoded quantized difference signals, wherein the improvement comprises:
- a. subsample mask means responsive to a quantizer selection for producing a binary mask corresponding to the selected quantizer;
- and
- b. means for employing the binary mask to selectively quantize, encode, and transmit the quantized difference pixel value when the corresponding mask value is one and when the corresponding mask value is zero, setting the quantized difference signal to a constant user defined value and transmitting nothing.