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A vNIC (virtual Network Interface Card) is a software-emulated network interface used by virtual machines to communicate over a virtual or physical network. The statement's reference to "bit stream mode" is ambiguous but likely implies raw, low-level bit transmission without higher-layer processing. vNIC Functionality: A vNIC operates at a higher abstraction level than physical NICs. It interfaces with the hypervisor's virtual switch (e.g., Open vSwitch in Huawei environments) and handles data in frames or packets (e.g., Ethernet frames), not just raw bit streams. The hypervisor or host NIC handles the physical bit stream transmission. Data Transmission: vNICs support various modes depending on configuration (e.g., VirtIO, SR-IOV passthrough), transmitting structured data (frames/packets) rather than solely raw bits. Bit stream transmission is a physical-layer task, not the vNIC's sole mode. Thus, the statement is FALSE (B) because a vNIC does not transmit data only in bit stream mode; it handles higher-level data structures, with bit-level transmission managed by underlying hardware.