History
News wire services in 1920s used multiplex devices that were modems by definition, but the modem function was incidental to the multiplexing function, so they are not commonly included in the history of modems.
Modems grew out of the need to connect teleprinters over ordinary phone lines instead of more expensive leased lines which had previously been used for current loop–based teleprinters and automated telegraphs. In 1942, IBM adapted this technology to their unit record equipment and were able to transmit punched cards at 25 bits/second.
Mass-produced modems in the United States began as part of the SAGE air-defense system in 1958 (the year the word modem was first used), connecting terminals at various airbases, radar sites, and command-and-control centers to the SAGE director centers scattered around the U.S. and Canada. SAGE modems were described by AT&T's Bell Labs as conforming to their newly published Bell 101 dataset standard. While they ran on dedicated telephone lines, the devices at each end were no different from commercial acoustically coupled Bell 101, 110 baud modems.
In the summer of 1960, the name Data-Phone was introduced to replace the earlier term digital subset. The 202 Data-Phone was a half-duplex asynchronous service that was marketed extensively in late 1960. In 1962, the 201A and 201B Data-Phones were introduced. They were synchronous modems using two-bit-per-baud phase-shift keying (PSK). The 201A operated half-duplex at 2,000 bit/s over normal phone lines, while the 201B provided full duplex 2,400 bit/s service on four-wire leased lines, the send and receive channels running on their own set of two wires each.
The famous Bell 103A dataset standard was also introduced by AT&T in 1962. It provided full-duplex service at 300 bit/s over normal phone lines. Frequency-shift keying was used with the call originator transmitting at 1,070 or 1,270 Hz and the answering modem transmitting at 2,025 or 2,225 Hz. The readily available 103A2 gave an important boost to the use of remote low-speed terminals such as the KSR33, the ASR33, and the IBM 2741. AT&T reduced modem costs by introducing the originate-only 113D and the answer-only 113B/C modems.
Read more about this topic: Modem
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