How many bytes go over the network is a function of the protocol used to send bits as bytes. If some bits are used as error detection or correction or handshake, then they are like the water used to rinse the mug and wash the coffee pot and left in the sink and turned into steam. In other words, what is or isn't a byte is subject to debate, but thanks to Shannon, bits are objectively measurable.
EDIT: Why the downvote? It's a perfectly logical explanation.
It is confusing, especially because B per second is 8 times faster than b per second.
Also, what happens if you're using 7e2 or 8n1 or whatever? What counts as a byte?
However, it's tradition that's backed up by a huge raft of prior work in the data transmission and information theory sciences. When you break all of that stuff down, you're left facing questions like "how can I design a protocol so that over a lossy channel I can unambiguously ascertain the correct transmission and reception of a given piece of information?" The natural unit which falls out of this is the indivisible bit, zero or one, the presence or absence of a signal, over a certain measured interval of time.
The theoreticians and engineers who produced the first systems for digital data transmission were all informed by this work, and their fundamental challenge was to produce systems capable of reliable transmission and reception of streams of bits -- not necessarily 8-bit bytes, that being a higher-order concern left to higher-order devices in the network, for sake of modularity. (For a bewildering example as to why telecom techs wanted^H^H^H^H^H^Hstill want to leave this kind of thing to others to puzzle out, see, e.g. https://en.wikipedia.org/wiki/36-bit)
As a result, today, network engineers pay first attention to the bit-rate rather than the byte-rate capabilities of their equipment, and this is reflected in everything from the names of low-level protocols to ways of talking about circuits to the specifications of concrete product implementations, both in terms of the data-carrying capacities of network interfaces to the speeds offered to consumers.
I come from the network engineering world, as you might have guessed :) So, on the opposite side of your question, I find it terribly distressing when software like my Bittorrent client reports speeds to me in megabytes-per-second. I don't have an intuitive feel for what a megabyte per second is, but I can take that figure and multiply by eight and say "aha!" Roughly the same as old-school 10Mbps Ethernet.
Edit: I'd like to add that the first networks were with dumb devices on the periphery, aka your phones, and smart devices in the core, aka AT&T computer controlled routers. There was no concept of Bytes in that network.
Granted, the byte hasn't been redefined, but given how every architecture and language in the past had a different standard for each ADS, one might want to be proactive.
Also see the mess SI vs. binary prefixes created.
As a sidenote, early modem producers used the baud (http://en.wikipedia.org/wiki/Baud) which coincides with bps only in some cases.
No, this isn't true. It was true once, but things have changed. Now there are two standards, one based on multiples of two, the other based on multiples of ten:
http://en.wikipedia.org/wiki/Mebibit
And, more topically,
http://en.wikipedia.org/wiki/Data_rate_units
1 kibibit = 1.024 kilobit
I'm not saying this is why ISPs use bits per second, but it certainly would serve as an explanation in the absence of a better one. Bits per second mean the same thing in all current schemes for describing a quantity of data or its velocity.
i think this is mostly because on the network, transmission actually happens a bit at a time. whereas in a computer system, data is addressed at a byte level (wikipedia says it has evolved due to the fact that in the early days, a byte was used to store every character of text).
hence files have sizes in MBs etc, while ISPs have speeds in Mbps
in fact in today's world everything from modulation and multiplexing is done digitally using network processors which actually work with bytes internally, so technically it should be possible to give network bandwidth in bytes
but my point is transmission on network or data bus, always happens in "frames" and a frame of length x bits, usually contains y bits of actual data and (x-y) bits that contain parity/redundancy bits. transmission of 1 byte usually never takes exactly 8 bits during transmission, with an additional few bits to ensure correct reception
But in reality, all ISPs measure their bandwidth speeds in bits per second. Thus there's no ripoff happening -- if you compare the speed numbers from two competing ISPs, and they're both in bits per second (which they are), then everything works out fine and you can choose the faster of the two.
And anyway, it's not just ISPs or whatever. Basically the entire networking industry measures speed in bits per second. It is totally standard.