The physical layer is responsible for sending computer bits from one device to another along a network. It performs functions like defining bits, determining data rate, ensuring synchronization between sending and receiving devices, and determining the transmission mode and interface. The document discusses different types of physical media used at this layer, including copper cabling like UTP, fiber optic cabling, and wireless media. Copper is used for Ethernet and telephone connections due to its ability to transfer data. Fiber optic cable is used for long-distance, high-performance networking. Wireless media allows for transmission without wires.