Communication theory has always been considered acceptable here. This is definitely a boundary question, but I think one that is still on topic. If you would like to continue discussion of it @JonnyBoats ask on meta. Right now as a moderator I am not going to take action as I support this as on topic, at its heart all communication theory is applied statistics. – Kortuk♦ 8 hours ago
I response to my comment that stats.stacmexchange "may be a better place for this question."
I had not flagged or voted to close the question, simply posted the comment. It was not trying to imply that the question was off topic; merely that it might get a good answer on the other site.
My primary reason for posting here on meta is to ask when it is appropriate to suggest another stack site? In particular now that there are so many sites it seems that there is often an overlap so that a question could be on topic for more than one site.