The terminal of the first working programmable, fully automatic digital  Turing-complete computer, the Z3, had a keyboard and a row of lamps to show results.
Early user terminals connected to computers were electromechanical teleprinters/teletypewriters (TeleTYpewriter, TTY), such as the Teletype Model 33 ASR, originally used for telegraphy or the Friden Flexowriter. Keyboard/printer terminals that came later included the IBM 2741 (1965) and the DECwriter LA30 (1970). Respective top speeds of teletypes, IBM 2741 and LA30 were 10, 15 and 30
characters per second. Although at that time "paper was king" the speed of interaction was relatively limited.
Closeup of an IBM 2741 printing terminal, which used a changeable Selectric
"golfball" typing element and was faster than the earlier day teletype
Early video computer displays were sometimes nicknamed "Glass TTYs" ("glass Teletypes") or "Visual Display Units" (VDUs), and used no CPU, instead relying on individual logic gates or very primitive LSI chips. Nevertheless, they quickly became extremely popular Input-Output devices on many different types of computer system once several suppliers gravitated to a set of common standards:
- ASCII character set (rather than, say, EBCDIC or anything specific to one company), but early/economy models often supported only capital letters (such as the original ADM-3, the Data General model 6052 – which could be upgraded to a 6053 with a lower-case character ROM – and the Heathkit H9)
- RS-232 serial ports (25-pin, ready to connect to a modem, yet some manufacturer-specific pin usage extended the standard, e.g. for use with 20-mA current loops)
- 24 lines (or possibly 25 – sometimes a special status line) of 80 characters of text (the same as IBM punched cards). Later models sometimes had two character-width settings.
- Some type of cursor that can be positioned (with arrow keys or "home" and other direct cursor address setting codes).
- Implementation of at least 3 control codes: Carriage Return (Ctrl-M), Line-Feed (Ctrl-J), and Bell (Ctrl-G), but usually many more, such as Escape sequences to provide underlining, dim or reverse-video character highlighting, and especially to clear the display and position the cursor.
The Datapoint 3300 from Computer Terminal Corporation was announced in 1967 and shipped in 1969, making it one of the earliest stand-alone display-based terminals. It solved the memory space issue mentioned above by using a digital shift-register design, and using only 72 columns rather than the later more common choice of 80.
Starting with the Datapoint 3300, by the late 1970s and early 1980s, there were dozens of manufacturers of terminals, including Lear-Siegler, ADDS, Data General, DEC, Hazeltine Corporation, Heath/Zenith, Hewlett Packard, IBM, Televideo, Volker-Craig, and Wyse, many of which had incompatible command sequences (although many used the early ADM-3 as a starting point).
The great variations in the control codes between makers gave rise to software that identified and grouped terminal types so the system software would correctly display input forms using the appropriate control codes; In Unix-like systems the termcap or terminfo files, the stty utility, and the TERM environment variable would be used; in Data General's Business BASIC software, for example, at login-time a sequence of codes were sent to the terminal to try to read the cursor's position or the 25th line's contents using a sequence of different manufacturer's control code sequences, and the terminal-generated response would determine a single-digit number (such as 6 for Data General Dasher terminals, 4 for ADM 3A/5/11/12 terminals, 0 or 2 for TTY's with no special features) that would be available to programs to say which set of codes to use.
The great majority of terminals were monochrome, manufacturers variously offering green, white or amber and sometimes blue screen phosphors. (Amber was claimed to reduce eye strain). Terminals with modest color capability were also available but not widely used; for example, a color version of the popular Wyse WY50, the WY350, offered 64 shades on each character cell.
An "intelligent" terminal does its own processing, usually implying a microprocessor is built in, but not all terminals with microprocessors did any real processing of input: the main computer to which it was attached would have to respond quickly to each keystroke. The term "intelligent" in this context dates from 1969.
Notable examples include the IBM 2250 and IBM 2260, predecessors to the IBM 3270 and introduced with System/360 in 1964.
IBM 2250 Model 4, including light pen and programmed function keyboard
Most terminals were connected to minicomputers or mainframe computers and often had a green or amber screen. Typically terminals communicate with the computer via a serial port via a null modem cable, often using an EIA RS-232 or RS-422 or RS-423 or a current loop serial interface. IBM systems communicated over a coaxial cable using IBM's SNA protocol, but for many DEC, Data General and NCR (and so on) computers there were many visual display suppliers competing against the computer manufacturer for terminals to expand the systems. In fact, the instruction design for the Intel 8008 was originally conceived at Computer Terminal Corporation as the processor for the Datapoint 2200.
From the introduction of the IBM 3270, and the DEC VT100 (1978), the user and programmer could notice significant advantages in VDU technology improvements, yet not all programmers used the features of the new terminals (backward compatibility in the VT100 and later Televideo terminals, for example, with "dumb terminals" allowed programmers to continue to use older software).
Some dumb terminals had been able to respond to a few escape sequences without needing microprocessors: they used multiple printed circuit boards with many Integrated Circuits; the single factor that classed a terminal as "intelligent" was its ability to process user-input within the terminal—not interrupting the main computer at each keystroke—and send a block of data at a time (for example: when the user has finished a whole field or form). Most terminals in the early 1980s, such as ADM-3A, TVI912, Data General D2, DEC VT52, despite the introduction of ANSI terminals in 1978, were essentially "dumb" terminals, although some of them (such as the later ADM and TVI models) did have a primitive block-send capability. Common early uses of local processing power included features that had little to do with off-loading data processing from the host computer but added useful features such as printing to a local printer, buffered serial data transmission and serial handshaking (to accommodate higher serial transfer speeds), and more sophisticated character attributes for the display, as well as the ability to switch emulation modes to mimic competitor's models, that became increasingly important selling features during the 1980s especially, when buyers could mix and match different suppliers' equipment to a greater extent than before.
The advance in microprocessors and lower memory costs made it possible for the terminal to handle editing operations such as inserting characters within a field that may have previously required a full screen-full of characters to be re-sent from the computer, possibly over a slow modem line. Around the mid 1980s most intelligent terminals, costing less than most dumb terminals would have a few years earlier, could provide enough user-friendly local editing of data and send the completed form to the main computer. Providing even more processing possibilities, workstations like the Televideo TS-800 could run CP/M-86, blurring the distinction between terminal and Personal Computer.
Another of the motivations for development of the microprocessor was to simplify and reduce the electronics required in a terminal. That also made it practicable to load several "personalities" into a single terminal, so a Qume QVT-102 could emulate many popular terminals of the day, and so be sold into organizations that did not wish to make any software changes. Frequently emulated terminal types included:
The ANSI X3.64 escape code standard produced uniformity to some extent, but significant differences remained. For example, the VT100, Heathkit H19 in ANSI mode, Televideo 970, Data General D460, and Qume QVT-108 terminals all followed the ANSI standard, yet differences might exist in codes from function keys, what character attributes were available, block-sending of fields within forms, "foreign" character facilities, and handling of printers connected to the back of the screen.
The term Intelligent Terminal can now refer to a store (check-out) computer.
While early IBM PCs had single color green screens, these screens were not terminals. The screen of a PC did not contain any character generation hardware; all video signals and video formatting were generated by the video display card in the PC, or (in most graphics modes) by the CPU and software. An IBM PC monitor, whether it was the green monochrome display or the 16-color display, was technically much more similar to an analog TV set (without a tuner) than to a terminal. With suitable software a PC could, however, emulate a terminal, and in that capacity it could be connected to a mainframe or minicomputer. The Data General One could be booted into terminal emulator mode from its ROM. Eventually microprocessor-based personal computers greatly reduced the market demand for conventional terminals.
In the 1990s especially, "thin clients" and X terminals have combined economical local processing power with central, shared computer facilities to retain some of the advantages of terminals over personal computers:
Today, most PC telnet clients provide emulation of the most common terminal, the DEC VT100, using the ANSI escape code standard X3.64, or could run as X terminals using software such as Cygwin/X under Microsoft Windows or X.Org Server software under Linux.
Since the advent and subsequent popularization of the personal computer, few genuine hardware terminals are used to interface with computers today. Using the monitor and keyboard, modern operating systems like Linux and the BSD derivatives feature virtual consoles, which are mostly independent from the hardware used.
When using a graphical user interface (or GUI) like the X Window System, one's display is typically occupied by a collection of windows associated with various applications, rather than a single stream of text associated with a single process. In this case, one may use a terminal emulator application within the windowing environment. This arrangement permits terminal-like interaction with the computer (for running a command line interpreter, for example) without the need for a physical terminal device; it can even allow the running of multiple terminal emulators on the same device.