Transistors are semiconductor devices that amplify and switch electronic signals. They have three terminals - emitter, base, and collector - and were invented in 1947. Transistors replaced vacuum tubes and allowed for the development of modern computers and electronics. They work by using a small current or voltage applied to the base to control a larger current flowing from collector to emitter. Proper biasing of the transistor junctions is required for amplification. Transistor ratings include maximum voltages, currents, and power dissipation.