The VT100 was so popular it became THE standard for terminals, and terminal emulators.
Surprisingly the VT100 could not actually handle 9600 baud full throttle. The serial hardware could, but the screen could not be updated at 960 characters per second. Thus flow control was essential unless working with a slow system (e.g. an old minicomputer..). Xon/Xoff was the most common method for flow control on DEC/VT100 systems. To handle the speed problem some people would put the VT100 into VT52 mode (one of the VT series' features) because VT52 processing had less overhead.
On a personal note, those of us seeing a VT100 for the first time way back then were floored by the "smooth scroll" feature.. now that looked nice. Until you realized how slow it became. Obviously those who demanded speed would turn off the smooth scroll mode and use every other measure to improve how fast the terminal could process data (see above).
In 1982 DEC introduced a Z80-based option board which turned the VT100 into a CP/M microcomputer. The option board included 64KB of RAM, a floppy disk controller and an extra serial port, in addition to the Z80. It was also possible to buy a terminal with the option board pre-installed, this configuration was sold as the VT180.
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