Multiplexing

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In telecommunications and computer networking, multiplexing (sometimes contracted to muxing) is a method by which multiple analog or digital signals are combined into one signal over a shared medium. The goal is to share a scarce resource - a physical transmission medium. For example, several telephone calls may be carried out using one wire in telecommunications. Multiplexing originated in telegraphy in the 1870s and is now widely applied in communications. In telephony, George Owen Squier is credited with developing telephone carrier multiplexing in 1910. Multiplexing

In Internetworking, it means having multiple sockets and juggling with data transmissions.
Similarly, demultiplexing means identifying the header information to find the correct socket to send and receive data.