The term "latency" in computer networking refers to the delay experienced during the transmission of data from one point to another. It encompasses various factors, including propagation delay, transmission delay, and processing delay at network devices. High latency can negatively impact network performance, leading to slow application response times and degraded user experiences. It is particularly crucial for real-time applications, such as video conferencing or online gaming, where immediate interaction is essential. Measuring and optimizing latency is vital for maintaining efficient network functionality and ensuring smooth communications in increasingly connected environments.