Abstract: A neural network system includes at least one memory and at least one processor. The memory is configured to store a front-end neural network, an encoding neural network, a decoding neural network and a back-end neural network. The processor is configured to execute the front-end neural network, the encoding neural network, the decoding neural network and the back-end neural network in the memory to perform operations including: utilizing the front-end neural network to output feature data; utilizing the encoding neural network to compress the feature data, and output compressed data which correspond to the feature data; utilizing the decoding neural network to decompress the compressed data, and output decompressed data which correspond to the feature data; and utilizing the back-end neural network to perform corresponding operations based on the decompressed data. A method of operating a neural network system is also disclosed herein.