What is DDS?
DirectDraw Surface, which is how game textures are stored for the graphics card. Block-compressed so the GPU can read it without unpacking, and usually carrying a whole chain of mipmaps. Open a game's files and this is most of what you'll find.
What is PBM?
One bit per pixel - black or white, nothing in between. The most minimal image format in common use, and still the right one for scanned documents, line art and anything headed into OCR or shape analysis. Photographs do not survive it.