Unit of signaling speed equal to the number of discrete signal elements transmited per second. Baud is synonymous with bits per second (bps). In common usage the baud rate of a modem is how many bits it can send or receive per second. Technically, baud is the number of times per second that the carrier signal shifts value - for example a 1200 bit-per-second modem actually runs at 300 baud, but it moves 4 bits per baud (4 x 300 = 1200 bits per second).
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