Heureka! In byte mode (treating a byte as a unit, not a text line), LINECOMP 
(or BYTECOMP?) compresses enwik8 to 33 MB - as opposed to the 35M original .zip 
file. So the algorithm is actually a "zip-enhancer", if you will (we use zip 
for the final compression internally). And this is with the same really, really 
crude intermediate encoding shown above (mostly just numbers in decimal format).

(BTW I think Matt's web server is moody. Couldn't download enwik8 from multiple 
machines.)
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