Bundled Cables are used when combining Insulated Wires of different colors, and then having them come back out again at a later point. It can connect all 16 colors of Insulated Wire without them interfering with one another on a single block.
Depending on type of Insulated Cable you used to make the wire; there are 16 different base colors of bundled cables. As they are still Insulated Wires; Bundled Cables will only connect to another cable of the same color which make them even more useful for compact mechanisms.
Power supplied to the cable from Insulated Wire (uninsulated wire doesn't connect to the cable) will only power other wires of the same color attached to the cable.
Usage With A Computer
When using Bundled Cables with a Computer, be sure that the cable comes straight out from the side, not across the side, that you wish to connect to on the computer.