With the development of space telemetry technology, it has brought forward higher requests for large capacity memory of hard recovered solid-state recorders. Therefore, data compression becomes more important. The compression feasibility and potentiality of telemetry data are examined by analyzing the statistical characteristics of actual telemetry data recovered from the recorder. Aiming at the disadvantages of present data format In data compression for multi-channel telemetry data acquisition systems, we introduce data packet structure and a real-time compression algorithm for low complex hardware design put forward accordingly. The principles and implementation of data package compression are described. Simulation results show that this technology can meet the requirements of multi-channel real-time data compression with high compression ratio and fast compression speed, which possesses great application values.