PNG (Portable Network Graphics) is ideal for images requiring lossless compression or transparency. Unlike JPG (JPEG), which uses lossy compression to significantly reduce file size but discards some image data, PNG preserves all original visual data. This makes PNG perfect for graphics with sharp edges, solid colors, transparent backgrounds, or text overlays where clarity is paramount.

Common uses include logos and icons needing a transparent background for flexible website or app integration, and detailed illustrations, line art, or infographics containing text where preserving sharp edges is crucial. Web designers, graphic artists, and developers frequently choose PNG for user interface elements and diagrams to maintain sharp quality regardless of the background.

PNG guarantees perfect image quality without compression artifacts but results in larger file sizes than JPG, especially for photos. This impacts web page loading times, making JPG preferable for photographic content. No ethical concerns exist, though understanding the trade-off between visual fidelity and performance remains vital for efficient digital asset management.