The embedded system has less fast CPU and lower memory than PC (Personal Computer) or Workstation system. Therefore, the embedded operating system is designed to efficiently use the limited resource in the system. Virtual memory management of the embedded Linux has a low efficiency when page fault is occurred to get a data from I/O device. Because a data is moving from the swap device to the main memory. This paper suggests the virtual memory compression algorithm for improving in virtual memory management and capacity of space. This paper suggests the CAMD compression algorithm that achieves significant improvement for the embedded system.