<p>Performance optimization is handled through best practices in data modeling, DAX query optimization, and report design. A Power BI development company should minimize the number of visuals per report page, use smaller datasets when possible, and avoid excessive use of calculated columns or complex DAX expressions. The Performance Analyzer tool in Power BI should be used to diagnose performance bottlenecks. Additionally, setting up incremental refresh for large datasets ensures quicker load times. Regular testing and optimization of reports help ensure they run smoothly across different devices and environments.</p>