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For more from the AT&T Archives, visit In 1961, the digital future was just starting to come to fruition. And the Bell System had a number of products that had either just come onto the market, or were incipient, that implemented these new computer technologies. In December 1960, AT&T had just announced an investment of $2.5 billion for satellite communications and improving the network for data services and computer communication. In 1958, AT&T had just announced its first modem. Springing from technologies used for the computerized navigation of missiles, the modem, i.e. the Data-Phone, was rolled out in a few markets in the midwest. It would be made commercially available throughout the network by 1960. The Data-Phone could transmit at up to a bit-rate of 110 bits per second. This film breaks into approximately two parts — part I: the problems of the present, and part II: the way those problems could be solved by the technology of th
