Time Division Multiple Access (TDMA): A technique for transmitting a number of separate data, voice and/or video signals one after another. With Time Division multiplexing, you “sample” each voice conversation, interleave the samples, send them on their way, then reconstruct the several conversations at the other end. There are several ways to do the sampling. You can sample eight bits (one byte) of each conversation, or you can sample one bit. The former is called “word interleaving”; the latter “bit interleaving”. The basic goal of multiplexing – whether it be time division or any other form – is to save money, to cram more conversations (voice, data, video or facsimile) onto fewer phone lines. Basically, to substitute electronics for copper.

Picture Source: http://en.wikipedia.org/wiki/File:Tdma-frame-structure.png
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