How are condoms that are used correctly not fully effective?

Charlotte
So I've been reading a few forums and it's obvious most people rely on condoms. I know that a condom that is used incorrectly (Such as if it breaks or is put on the wrong way) may fail to protect against pregnancy. But what I don't understand is how a condom can only be 98% effective when used properly? Can semen some how leak through the latex even if there is no holes in the condom?