File size reduction in Linux?

I have a problem. I need to reduce my video files to from 40MB to about
5-10 MB. My service provider says my files are too large and blocks them.
So I wonder if anyone has had this problem. I need to find a file
extension that will allow me to reduce these files. Or find a service
provider that
let me send larger files.
Has anyone in the Linux community encounter this before.

Thanks for any input.

Mike Enriquez
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