
Even PKZip on a 286 running DOS could fly through text files
Archivers are very good at compressing text, and do it very quickly. The algorithms are well known and well optimized.
Compression generally makes more sense than transmitting large files. Sometimes it's essential. See, e.g. [link|http://www.sc2000.org/techpapr/papers/pap.pap254.pdf|this .pdf] of a paper on near-interactive transferring of computational fluid dynamics simulation images over a WAN.
Cheers,
Scott.