Effect of Noise: Shannon's Theorem

• Bandwidth = H HzSignal-to-noise ratio = S/N

  • Maximum data rate = H log2 (1+S/N)

• Example: Phone wire bandwidth = 3100 Hz

S/N = 1000Maximum data rate = 3100 log 2 (1+1000) = 30,894 bps

This is an absolute limit. In reality, you can’t get very close to the Shannon limit.

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