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What is a baseband?

What is the Baseband? What does it do? What are the benefits of upgrading it?

Simply put, it is the software that connects your phone to your network.
The benefits of updating it are more signal reception, which means a lot faster download speeds, better call quality, etc.
 
Not to temper the hopes too much but the more likely scenario is changes to the baseband firmware are based on regulatory compliance updates (think FCC compliance).
 
I believe you are right nate, my Wife's unmodded Droid has the same baseband as me, the .03P thingy. From what I've been reading, that is the latest one, so I guess its an automatic thing.
 
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