If its alright...I will also like to add that within the Hip-Hop community the term "freestyle" means that an artist will perform or spit verses right in the moment or whatever comes to mind at that moment without putting too much thought into it. Rap artists does it all the time and I recall R&B singer Jill Scott last CD was done freestyle. The lyrics and the music was not structured...everything was done right in the moment.
I agree with JS. But I think in the 80's the "Freestyle" idea had more to do with dancing. At that time Rap, New Wave, R&B were all crossing lines and the dance clubs began to explode packing the floors with all nationalities and music interests. DJ's back then were looking for specific BPMs and artists began recording similar rhythms for blending.
Regarding the term "Freestyle" also being used for rap/hip-hop, that is correct.
Many people question why this form of dance music was suddenly called "freestyle".
The main theory is that the genre was originally called "Latin Hip-Hop", due the hip-hop sound with Latin elements. However, insiders in the business felt that with the term 'Latin" in there, it could possibly limit the audience the music would receive, so it suddenly became called 'freestyle'.
There were more females in the world of freestyle than males, but the males who did succeed, succeeded big.
George LaMond is considered one of the best vocalists in freestyle. After the genre cooled at radio and clubs, George was able to move on and become a successful Salsa performer.
Noel Pagan recorded a very successful debut cd under the name Noel, and rumors ended up helping him get some more attention.
His debut song ("Silent Morning") was rumored to be about a gay man, losing his partner to AIDS. This led to rumors of Noel being gay.
Neither rumor was true. Noel was straight, and the song was originally written as "Spanish Morning", about a bull fighter. Noel thought that people may not be able to relate to such a song, and helped rewrite the song to "Silent Morning".
Stevie B. came out of Miami and stormed the dance charts with his hit singles.
Unlike some other artists, Stevie B. played his own music, and wrote his own lyrics. He recorded numerous successful albums, as well as writing for others.
His love song/ballad "Because I Love You (The Postman Song)" hit #1 on the Billboard Hot 100 pop chart.
Dino became a singer, first as part of the group Esquire, and later as a solo artist. He signed with 4th & B'way/Island/PolyGram Records, and in 1988 released his debut single "Summergirls". He then released his debut album 24/7, from which were released the singles "I Like It," & "Sunshine". Dino started in freestyle, and then moved on to what could be described as "new jack swing" style of music.