What does update rate mean?

Update rate is the rate at which position data is updated internally by the IncOder. Most IncOders have an update rate of 10kHz which means that the angle data is updated every 100micro-seconds. Note that update rate and Baud rate are not the same thing. Baud rate relates to the rate at which data is transmitted along the output cable. Similarly pulse rate is not the same as update rate and the maximum frequency for generating pulses is 1MHz.