It is used by people who arn't sure on how to start a convo so will say "sup" instead. It is also an abbreviation of the phrase "what's up?". When someone says "sup" it is often a retorical question and is followed by either no answer at all or a stupid answer such as "the sky".
*Dude101 enters the room*
Dude101: Sup people?
jake: sup man?
bob: not alot.
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