Comment by kragen

Much better in every way except the one that mattered most: being able to correct punching errors in a paper tape without starting over.

I don't know if you have ever had to use White-Out to correct typing errors on a typewriter that lacked the ability natively, but before White-Out, the only option was to start typing the letter again, from the beginning.

0x7f was White-Out for punched paper tape: it allowed you to strike out an incorrectly punched character so that the message, when it was sent, would print correctly. ASCII inherited it from the Baudot–Murray code.

It's been obsolete since people started punching their tapes on computers instead of Teletypes and Flexowriters, so around 01975, and maybe before; I don't know if there was a paper-tape equivalent of a duplicating keypunch, but that would seem to eliminate the need for the delete character. Certainly TECO and cheap microcomputers did.