The Shannon capacity of the single-server queue is analyzed. We show t
hat the capacity is lowest, equal to e(-1) nats per average service ti
me, when the service time distribution is exponential. Further, this c
apacity cannot be increased by feedback. For general service time dist
ributions, upper bounds for the Shannon capacity are determined. The c
apacities of the telephone signaling channel and of queues with inform
ation bearing packets are also analyzed.