Introduction. Lossy image compression algorithms play a crucial role in various domains, including graphics, and image processing. As image information density increases, so do the resources required for processing and transmission. One of the most prominent approaches to address this challenge is color quantization, proposed by Orchard et al. (1991). This technique optimally maps each pixel of an image to a color from a limited palette, maintaining image resolution while significantly reducing information content. Color quantization can be interpreted as a clustering problem (Krishna et al. (1997), Wan (2019)), where image pixels are represented in a three-dimensional space, with each axis corresponding to the intensity of an RGB channel. The purpose of the paper. Scaling of traditional algorithms like K-Means can be challenging for large data, such as modern images with millions of colors. This paper reframes color quantization as a three-dimensional stochastic transportation problem between the set of image pixels and an optimal color palette, where the number of colors is a predefined hyperparameter. We employ Stochastic Quantization (SQ) with a seeding technique proposed by Arthur et al. (2007) to enhance the scalability of color quantization. This method introduces a probabilistic element to the quantization process, potentially improving efficiency and adaptability to diverse image characteristics. Results. To demonstrate the efficiency of our approach, we present experimental results using images from the ImageNet dataset. These experiments illustrate the performance of our Stochastic Quantization method in terms of compression quality, computational efficiency, and scalability compared to traditional color quantization techniques. Conclusions. This study introduces a scalable algorithm for solving the color quantization problem without memory constraints, demonstrating its efficiency on a subset of images from the ImageNet dataset. The convergence speed of the algorithm can be further enhanced by modifying the update rule with alternative methods to Stochastic Gradient Descent (SGD) that incorporate adaptive learning rates. Moreover, the stochastic nature of the proposed solution enables the utilization of parallelization techniques to simultaneously update the positions of multiple quants, potentially leading to significant performance improvements. This aspect of parallelization and its impact on algorithm efficiency presents a topic for future research. The proposed method not only addresses the limitations of existing color quantization techniques but also opens up new possibilities for optimizing image compression algorithms in resource-constrained environments. Keywords: non-convex optimization, stochastic optimization, stochastic quantization, color quantization, lossy compression.