8-bit computing refers to a type of computer architecture that processes data in 8-bit chunks. This means that the computer can handle 256 different values at a time, which is sufficient for basic tasks like simple calculations and text processing. Early home computers and gaming consoles, such as the Nintendo Entertainment System and Commodore 64, utilized 8-bit processors, making them popular in the 1980s. The limitations of 8-bit computing include restricted memory and processing power, which affected the complexity of software and graphics. Despite these constraints, 8-bit systems laid the groundwork for future advancements in computing and gaming, influencing the design of later 16-bit and 32-bit systems.