diff --git a/dace/sdfg/sdfg.py b/dace/sdfg/sdfg.py
index 07267ec786..e89c167184 100644
--- a/dace/sdfg/sdfg.py
+++ b/dace/sdfg/sdfg.py
@@ -2191,8 +2191,8 @@ def compile(self, output_file=None, validate=True) -> 'CompiledSDFG':
                 # Generate code for the program by traversing the SDFG state by state
                 program_objects = codegen.generate_code(sdfg, validate=validate)
             except Exception:
-                fpath = os.path.join('_dacegraphs', 'failing.sdfg')
-                self.save(fpath)
+                fpath = os.path.join('_dacegraphs', 'failing.sdfgz')
+                self.save(fpath, compress=True)
                 print(f'Failing SDFG saved for inspection in {os.path.abspath(fpath)}')
                 raise
 
diff --git a/dace/sdfg/validation.py b/dace/sdfg/validation.py
index 45d38e33e2..a3914494c3 100644
--- a/dace/sdfg/validation.py
+++ b/dace/sdfg/validation.py
@@ -264,8 +264,8 @@ def validate_sdfg(sdfg: 'dace.sdfg.SDFG', references: Set[int] = None, **context
         validate_control_flow_region(sdfg, sdfg, initialized_transients, symbols, references, **context)
     except InvalidSDFGError as ex:
         # If the SDFG is invalid, save it
-        fpath = os.path.join('_dacegraphs', 'invalid.sdfg')
-        sdfg.save(fpath, exception=ex)
+        fpath = os.path.join('_dacegraphs', 'invalid.sdfgz')
+        sdfg.save(fpath, exception=ex, compress=True)
         ex.path = fpath
         raise