The shannon (symbol: Sh) is a unit of information named after Claude Shannon, the founder of information theory. IEC 80000-13 defines the shannon as the information content associated with an event when the probability of the event occurring is 1/2. It is understood as such within the realm of information theory, and is conceptually distinct from the bit, a term used in data processing and storage to denote a single instance of a binary signal. A sequence of n binary symbols (such as contained in computer memory or a binary data transmission) is properly described as consisting of n bits, but the information content of those n symbols may be more or less than n shannons depending on the a priori probability of the actual sequence of symbols.
The shannon also serves as a unit of the information entropy of an event, which is defined as the expected value of the information content of the event (i.e., the probability-weighted average of the information content of all potential events). Given a number of possible outcomes, unlike information content, the entropy has an upper bound, which is reached when the possible outcomes are equiprobable. The maximum entropy of n bits is n Sh. A further quantity that it is used for is channel capacity, which is generally the maximum of the expected value of the information content encoded over a channel that can be transferred with negligible probability of error, typically in the form of an information rate.