8 bits is too much for what was used historically. Morse code had 1-5 "bits" (effectively having the compression built-in). Baudot code was 5 bits, invented by a French engineer in France in 1870, inspired by other non-English-speaking Europeans.

http://en.m.wikipedia.org/wiki/Morse_code

http://en.m.wikipedia.org/wiki/Baudot_code