Um, Rabbit, I think he was asking about obfuscation, not zipping the source files...
Yemata - there are a number of products out there that will obfuscate your source before it is compiled. Obfuscated code is still source code that someone with enough patience and skill could make use of, but it can be very difficult for them.
Check out http://preemptive.com/products/dotfuscator/overview
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