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Thunderbolt is a high-speed computer hardware interface that connects peripherals to a computer, supporting high-resolution displays, high-performance data devices, and power delivery through a single, compact port. It combines the functionality of PCI Express (PCIe) and DisplayPort (DP) into a single serial signal, offering fast data transfer rates, audio, video, and power over one cable. Thunderbolt 3, 4, and 5 use the USB-C connector and are backward compatible with USB4. 

Key features 

Single-port connectivity: A single Thunderbolt port can connect to multiple devices simultaneously through daisy-chaining, which reduces cable clutter.

High-speed data transfer: It provides very fast data transfer rates, ideal for tasks like video editing or backing up large files. For example, Thunderbolt 4 offers the same \(40\) Gbps bandwidth as Thunderbolt 3 but with stricter minimum performance requirements. Thunderbolt 5 provides up to \(80\) Gbps.

Video output: Thunderbolt can output video to multiple high-resolution displays, such as multiple \(4K\) monitors.

Power delivery: It can supply power to connected devices through the same cable.

Device compatibility: Thunderbolt is backward compatible with previous versions and devices like DisplayPort monitors. Thunderbolt 3 and 4 are also compatible with USB4, and versions from Thunderbolt 3 onwards use the USB-C connector.

Bi-directional signals: Each port has two channels, allowing it to send and receive data simultaneously.