Background: Lateral patellar compression syndrome is one of the causes of anterior knee pain in young adults and resulted from tight lateral patellar retinaculum, which can be treated by surgical release of tight retinaculum after failure of conservative measures. Surgical release can be done by open or arthroscopic procedures. There was no randomized control trial to compare between these two procedures in considering of functional outcome and complications. The aim of our study is to compare between open and arthroscopic release of lateral patellar compression syndrome in relation of functional outcome, time of surgical procedure, length of hospital stays, intraoperative and postoperative complications as bleeding, infection, recurrence and patellar instability with 2 years of follow up. Methods: 80 patients, age (21-49 years), were divided randomly into 2 groups (A and B). Group A (40 patients) were treated with open release after diagnostic arthroscopy. Group B (40 patients) were treated by arthroscopic release. All these patients are diagnosed as lateral patellar compression syndrome depending on clinical features, MRI and diagnostic arthroscopy and they had failure of conservative measures of quadriceps strengthening and analgesics for 6 months. All patients were assessed by Lysholm knee scoring scale before surgery and at periods of 2 weeks, 6 weeks, 6 months, 12 months and 24 months after surgery.Results: There is significant difference in functional outcome, measured by Lysholm knee scoring scale, between preoperative and postoperative assessment periods in both groups (P<0.001). There is significantly better functional outcome at 2 years of follow up with the arthroscopic release (P=0.018). There is no recurrence in both groups, but there were 4 patients develop medial patellar instability in the group that was treated by open release. There are 2 patients develop hemarthrosis in arthroscopic group and one patient develop superficial wound infection in the group of open release. There is no significant difference in the postoperative complications between two groups.Conclusion: Both open and arthroscopic lateral release for patients with lateral patellar compression syndrome (without instability, limb malalignment or dysplasia) are effective surgical procedures but arthroscopic release can achieve better functional outcome than open release with less risk of development of post-operative patellar instability.Trial registration: NCT, NCT04130412. Registered 15 October 2019 -Retrospectively registered, https://www.clinicaltrials.gov/NCT04130412