A radio terminal switches between a compressed transmission mode and a normal transmission mode based on the current transmit power level of the radio terminal. The radio terminal periodically compares its current transmit power level to a power threshold. The radio terminal transmits in the compressed transmission mode when the current transmit power level is below the threshold, and transmits in the normal transmission mode when the current transmission power level is greater than the threshold. The radio terminal may also operate in a compressed receiving mode.

 
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