The baud definition is that it is the term of measurement for data transmission speed. The term was invented by the same man who created the telegraph code, J. M. E. Baudot. A baud is the transmission of one bit per second or one electronic state change per second. This term is a bit outdated and has since been replaced with bits per second or bps. This is because baud rates do not correctly identify how many bits are traveling at a given time. With new technology a baud can allow more than one electronic state change per second. For instance, a 4800 baud rate may have 9600 bits traveling through per second. This is why it is more common to hear data transmission rates referred to in bits per second (bps) rather than baud rate.

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