A method for replicating data between two or more network connected data storage devices, the method including dynamically determining whether to compress data prior to transmitting across the network based, at least in part, on bandwidth throughput between the network connected data storage devices. If it has been determined to compress the data, the method involves compressing the data and transmitting the compressed data over the network. If it has been determined not to compress the data, the method involves transmitting the data, uncompressed, over the network. Dynamically determining whether to compress data may include comparing bandwidth measurements with a predetermined policy defining when compression should be utilized. In some embodiments, the policy may define that compression should be utilized when an estimated time for compressing the data and transmitting the compressed data is less than an estimated time for transmitting the data uncompressed.