A dynamic data compression system includes a group of sensors and a controller. The sensors are arranged on-board of a vehicle and operable to detect and capture driving event data, the group of sensors comprising a target sensor. The controller is coupled to the group of sensors and operable to receive one or more data streams indicative of the driving event data from the group of sensors. The controller is further operable to (i) analyze the one or more data streams, (ii) determine a vehicle operation condition based on the one or more data streams, the vehicle operating condition comprising a speed of the vehicle, a location of the vehicle, a motion of the vehicle, or a combination thereof, and (iii) determine whether or not to compress a data stream from the target sensor based on the vehicle operation condition.