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? I thought delta compressors operated on the binary directly, can you provide an example of one which does actual decompilation/recompilation?

Pretty much only Microsoft msdelta does it. Google courgette only does a disassembly.

Don’t delta updates usually use some binary diffing algorithm? Even if they didn’t I can understand why would they make deltas using decompiled code and not the disassembled one.

I love this use case! Do you have any public links acknowledging/mentioning/showing this use case? Including it in the Applications portion of the Dec Wiki would be great.