DSCompress is a GZip compression front end for the Nintendo DS. It uses the latest libfat, so it should be compatible with any homebrew compatible flashcard.
Instructions
Select a file in the browser, and press A to compress.
Select a file ending in .gz in the browser, and press A to decompress.
Select a directory in the browser, and press A to enter it.
Select ‘..’ in the browser, or press B, to go up a directory.
Thanks to http://www.dcemu.co.uk for the news.