"16-bit" refers to a type of computer architecture or data processing that uses 16 bits to represent information. This means that the system can handle 2^16, or 65,536 different values at once. It was commonly used in early personal computers and gaming consoles, allowing for more complex graphics and sound compared to earlier 8-bit systems. In the context of video games, many classic titles from the Super Nintendo Entertainment System and Sega Genesis were designed with 16-bit technology. This allowed for richer colors, improved audio, and more intricate gameplay mechanics, contributing to the popularity of these systems during the late 1980s and early 1990s.