Chapter 6: Introduction to Digital Communication 93

Chapter 6: Introduction to Digital Communication

6.1 Introduction

In the context of this course, digital communications include systems where relatively
high-frequency analog carriers are modulated by relatively low-frequency digital
information signals (digital modulation) and systems involving the transmission of digital
pulses (digital transmission). Digital transmission systems transport information in digital
form therefore they require a physical facility between the transmitter and receiver such
as a metallic wire pair, a coaxial cable or an optical fiber cable. In digital modulation
systems, the carrier facility could be a physical cable or it could be free space.

In this chapter, the student will be first introduced to information theory parameters
followed by the introduction of several forms of digital modulation system. The final part
of the chapter is where the student will learn more on digital transmission systems.

6.2 Information Theory Parameters

6.2.1 Information Capacity, Bits and Bit Rate

Information theory is a study of the efficient use of bandwidth to propagate information

through electronic communication systems. Information theory can be used to determine
the information capacity of a data communication system.

Information capacity is a measure of how much information can be propagated through a

communication system and it is a function of bandwidth and transmission time.

• I.e. information capacity represents the number of independent symbols that can
be carried through a system in a given unit of time.
• The most basic digital symbol used to represent information is the binary digit, or
bit.
• Bit rate is simply the number of bits transmitted during one second and is
expressed in bits per second (bps).

In 1928, Hartley’s Law is developed to show the relation between information capacity,
bandwidth and transmission time.

• Hartley Law:

I  Bt (6.1)

Where I = information capacity (bps)

B = bandwidth (Hz)
t = transmission time (seconds)

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Then in 1948, mathematician Claude E. Shannon relates the information capacity of a

communication channel to bandwidth and signal-to-noise ratio. The higher the signal-to-
noise ratio, the higher the information capacity is. I.e. better performance is produced.

• Shannon limit for information capacity:

 S  S
I = B log 2 1 +  or I = 3.32 B log 10 1 +  (6.2)
 N  N

Where I = information capacity (bps)

B = bandwidth (Hz)
S
= signal-to-noise ratio (unitless)
N

6.2.2 M-ary Encoding

M-ary is a term derived from word binary. M simply represents a digit that corresponds to
the number of conditions, levels or combinations possible for a given number of binary
variables.

• For example, a digital signal with four possible conditions (voltage levels,
frequencies, phases and so on) is an M-ary system where M = 4. If there are eight
possible conditions, M = 8 and so forth.

• The number of bits necessary to produce a given number of conditions is

expressed mathematically as

N = log 2 M (6.3)

Where N = number of bits necessary

M = number of conditions or levels possible with N bits

• Equation (6.3) can be rearranged to express the number of conditions possible

with N bits

2N = M (6.4)

• For example, with one bit, only 2 conditions are possible. With two bits, 4
conditions are possible, with three bits, 8 conditions are possible, and so on.

6.2.3 Baud

Baud is a term often misunderstood and commonly confused with bit rate. Bit rate refers
to the rate of change of a digital information signal, which is usually binary. Baud is also
a rate of change; however,

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Baud refers to the rate of change of a signal on the transmission medium after encoding
and modulation have occurred.

• I.e. baud is a unit of transmission rate, modulation rate or symbol rate and
therefore the terms symbols per second and baud are often used interchangeably.
• Mathematically, baud is expressed as

1
baud = (6.5)
ts

Where baud = symbol rate (symbol per second)

t s = time of one signaling element or symbol (seconds)

Comparison between baud and bit rate can be further explained as the following. Binary
signals are generally encoded and transmitted one bit at a time in the form of discrete
voltage levels representing logic 1 (high) or 0 (low). A baud is also transmitted one at a
time; however, a baud may represent more than one information bit.

• I.e. the baud of a data communication system may be considerably less than the
bit rate.
• In binary encoding systems, baud and bit rate (bps) are equal.
• In higher-level encoding systems, bit rate is always greater than baud.

Worked Example

Assume we wanted to transmit the decimal number 201. This can be represented in
binary as 11001001.

Using binary (2-level) encoding system, these bits are transmitted serially as a sequence
of equal-time-interval pulses that are either 1 or 0.

• If each bit interval is 1 ms, then the bit rate is 1000 bps (1/1ms).
• The baud rate is also 1000 bps or 1000 baud (1000 symbols per second).

Now, let a 4-level encoding system represents 2 bits of data as different voltage levels.
Since there are 4 possible combinations of 2 bits, we will have 4 different voltage levels.
For example,

00 – 0V 01 – 1V 10 – 2V 11 – 3V

• With this system, 11001001 would be divided into groups of 11/00/10/01.

Therefore, the transmitted signal would be voltage levels of 3V, 0V, 2V and 1V
respectively.
• If each voltage level occurs at 1 ms interval, the baud rate is still 1000 baud
because there is only one symbol per time interval. (I.e. 1000 symbols per second)

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• The bit rate now is 2000 bps since each symbol represents 2 bits (1000 x 2).

I.e. we have doubled the bit rate while keeping the baud rate constant. In addition, the
transmission time is also shortened. It takes 8 ms to transmit 8-bit binary word using
binary system, but it only takes 4 ms to transmit the word using 4-level encoding system.

6.2.4 Minimum Bandwidth

According to H. Nyquist, binary digital signals can be propagated through an ideal

noiseless transmission medium at a rate equal to two times the bandwidth of the medium.

The minimum theoretical bandwidth necessary to propagate a signal is called the

minimum Nyquist bandwidth or sometimes the minimum Nyquist frequency.

• Mathematical representation: f b = 2 B (6.6)

Where f b = Bit rate / Channel capacity (bps)

B = minimum Nyquist bandwidth (Hz)

• The relationship between bandwidth and bit rate also applies to the opposite
situation. For a given bandwidth (B), the highest theoretical bit rate is 2B.
• However, if more than two levels are used for signaling, more than one bit may be
transmitted at a time, and it is possible to propagate a bit rate that exceeds 2B.
• Using multi-level signaling, equation (6.6) becomes

f b = 2B log2 M (6.7)

Where f b = Bit rate / Channel capacity (bps)

B = minimum Nyquist bandwidth (Hz)
M = number of conditions or level

Worked example

Using previous worked example parameters, the minimum bandwidth required to

transmit the signal on binary encoding system can be calculated as

f b = 2B  B = f b / 2 = 1000 / 2 = 500 Hz

For the 4-level encoding system, the minimum bandwidth is similar.

fb 2000 2000
f b = 2 B log 2 M  B = = = = 500 Hz
2 log 2 M 2 log 2 4 2(2)

I.e. for a same bandwidth, we can propagate a higher bit rate using multi-level system.

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Equation (6.7) can be further simplified to solve for the minimum bandwidth necessary to
pass M-ary digitally modulated carrier:

fb
B= (6.8)
log 2 M

• Substituting Equation (6.3) into Equation (6.8)

fb
B= (6.9)
N

Where N = number of bits encoded into each signaling element

In addition to that, since baud is the encoded rate of change, it also equals the bit rate
divided by the number of bits encoded into one signaling element. Therefore

fb
baud = (6.10)
N

• I.e. the baud and the ideal minimum Nyquist bandwidth have the same value and
are equal to the bit rate divided by the number of bits encoded. This is true for all
forms of digital modulation except frequency-shift keying.

6.3 Digital Modulation

Digital modulation is the transmittal of digitally modulated analog signals (carriers)

between two or more points in a communication system. Digital modulation is sometimes
called digital radio because digitally modulated signals can be propagated through
Earth’s atmosphere and used in wireless communication systems.

Figure 6.1 shows a simplified block diagram for a digital modulation system.

• Encoder performs level conversion and then encodes the incoming data into
groups of bits that modulate an analog carrier inside modulator.
• The modulated carrier is filtered, amplified and then transmitted through
transmission medium to the receiver.
• The transmission medium can be metallic cable, optical fiber cable, Earth’s
atmosphere or combination of two or more types of transmission systems.
• The received signal is filtered, amplified and then applied to the demodulator and
decoder circuits, which extracts the original source information from the
modulated carrier.
• The clock and carrier recovery circuits recover the analog carrier and digital
timing (clock) signals from the incoming modulated wave for demodulation
purpose.

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Figure 6.1: Simplified block diagram of digital modulation system

In general, there are three basic digital modulation techniques, namely: Amplitude Shift
keying (ASK), Frequency Shift Keying (FSK) and Phase Shift Keying (PSK). Figure 6.2
shows the output waveform for these three digital modulation techniques.

Figure 6.2: ASK, FSK and PSK modulation scheme

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• In ASK, the modulator puts out a burst of carrier for every logic 1, and no signal
for every logic 0.
• In FSK, for logic 1 a higher frequency carrier burst is transmitted and for logic 0 a
lower frequency carrier burst is transmitted, or vice versa.
• In PSK, logic 1 is transmitted as a burst of carrier with zero initial phase while
logic 0 is transmitted as a burst of carrier with 1800 initial phase.

6.3.1 Amplitude Shift Keying (ASK)

The simplest digital modulation technique is ASK, where a binary information signal
directly modulates the amplitude of an analog carrier. ASK can be represented
mathematically as
A 
v( ask ) (t ) = [1 + v m (t )] cos( c t ) (6.11)
2 

Where v( ask ) (t ) = ASK wave, v m (t ) = digital information (modulating) signal

A
= unmodulated carrier amplitude,
2
c = analog carrier radian frequency

• The modulating signal in Equation (6.11) is a normalized binary waveform, where

+1V = logic 1 and -1V = logic 0.
• For logic 1 input,
A 
vm (t ) = +1  v( ask ) (t ) = [1 + 1] cos( c t ) = A cos( c t )
2 
• For logic 0 input,
A 
vm (t ) = −1  v( ask ) (t ) = [1 − 1] cos( c t ) = 0
2 

• I.e., the ASK signal is either A cos(c t ) (ON) or 0 (OFF), which is why ASK is
also called on-off keying (OOK).

Figure 6.3 shows an example of ASK waveform.

Figure 6.3: ASK waveform

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• For every change in the input binary data, there is one change in the ASK
waveform and the time of one bit (tb) equals the time of one analog signaling
element (ts).
• Since the bit time is the reciprocal of the bit rate and the time of one signaling
element is the reciprocal of the baud, therefore, the bit rate in ASK modulation
technique is equal to the baud.
• With ASK, the bit rate is also equal to the minimum Nyquist bandwidth B (by
setting N = 1 into Equation (6.9) and Equation (6.10))

fb f fb f
B= = b = fb and baud = = b = fb
N 1 N 1

6.3.2 Frequency Shift Keying (FSK)

FSK is a form of constant-amplitude angle modulation similar to standard frequency

modulation (FM) except that the modulating signal is a binary signal that varies between
two discrete voltage levels rather than a continuously changing analog waveform. FSK is
also known as binary FSK (BFSK).

• Mathematical expression for FSK

v( fsk ) (t ) = Vc cos2  f c + vm (t )f t  (6.12)

Where v( fsk ) (t ) = FSK wave

v m (t ) = binary input (modulating) signal
Vc = peak analog carrier amplitude
fc = analog carrier centre frequency
f = peak change (shift) in analog carrier frequency

• The modulating signal in Equation (6.12) is also a normalized binary waveform,

where +1V = logic 1 and -1V = logic 0.
• For logic 1 input,

vm (t ) = +1  v( fsk ) (t ) = Vc cos2 ( f c + f )t 

• For logic 0 input,

vm (t ) = −1  v( fsk ) (t ) = Vc cos2 ( f c − f )t 

With binary FSK, the carrier center frequency is shifted up and down in the frequency
domain by the binary input signal and the direction of the shift is determined by the
polarity as shown in Figure 6.4.

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Logic 1

Logic 0

-∆f +∆f

fs fc fm

Figure 6.4: FSK in the frequency domain

• As the binary input changes from logic 0 to logic 1 and vice versa, the output
frequency shifts between two frequencies: a mark or logic 1 frequency (fm) and a
space or logic 0 frequency (fs).
• The mark and space frequencies are separated from the carrier centre frequency
by the peak frequency deviation f .
• Frequency deviation can be expressed mathematically as

fm − fs
f = (6.13)
2

Figure 6.5 shows an example of FSK waveform in time domain.

Figure 6.5: FSK waveform

• Based on Figure 6.5, the time of one bit (tb) is the same as the time of an FSK
signaling element (ts). I.e. the FSK bit rate is equal to the baud of FSK.
• Again by setting N = 1 in Equation (6.10),

fb f
baud = = b = fb
N 1

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FSK is the exception to the rule for digital modulation, as the minimum Nyquist
bandwidth B is not determined using Equation (6.9).

• The minimum Nyquist bandwidth for FSK is given as

B = ( f s − fb ) − ( fm − fb ) = f s − fm + 2 fb

Since f s − f m = 2f as in Equation (6.13),

B = 2(f + f b ) (6.14)

6.3.3 Phase Shift Keying (PSK)

PSK is another form of angle-modulated, constant-amplitude digital modulation. PSK is

an M-ary digital modulation scheme similar to conventional phase modulation except
with PSK the input is a binary digital signal and there are limited numbers of output
phase possible. The number of output phases is defined by M as described in Equation
(6.4) and determined by the number of bits N.

The simplest form of PSK is binary PSK (BPSK), where N = 1 and M = 2. Therefore,
with BPSK, two phases are possible for the carrier.

• One phase represents logic 1 and the other phase represents logic 0.
• As the input digital / binary signal changes state, the phase of the output carrier
shifts between two angles that are separated by 1800.

Figure 6.6 shows a simplified block diagram of BPSK transmitter

Binary data Level Balanced Band pass Modulated

(modulating) converter modulator filter PSK output
(unipolar to
bipolar)

Buffer

sin (ωct)
Reference
carrier
oscillator

Figure 6.6: BPSK transmitter

• If +1 V is assigned to input logic 1 and -1 V is assigned to input logic 0, the

carrier sin(c t ) is multiplied by either +1 or -1.

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• For logic 1, the output BPSK signal is v( psk ) (t ) = sin(c t ) while for logic 0, the
output BPSK signal is v( psk ) (t ) = − sin(c t ) .
• I.e. logic 1 output represents a signal that is in phase with the reference oscillator
and logic 0 output represents a signal that is 1800 out of phase with reference
oscillator.

Figure 6.7 shows an example of BPSK waveform.

Figure 6.7: BPSK waveform

• As binary input shifts between logic 1 and logic 0 and vice versa, the phase of the
BPSK waveform shifts between 00 to 1800, respectively.
• For simplicity, only one cycle of the analog carrier in shown in each signaling
element, although there may be anywhere between a fraction of a cycle to several
thousand cycle, depending on the relationship between the input bit rate and the
analog carrier frequency.
• Note that the time of one BPSK signaling element (ts) is equal to the time of one
input bit (tb), which indicates that the bit rate equals the baud.
• As in ASK, the minimum Nyquist bandwidth B for FSK is given as

2 fb
B= = fb
2

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