Amplitude and phase modulated optical OFDM (Orthogonal Frequency Division Multiplexing) are analyzed in a 50GBit/s single channel and 40GBit/s 5 channel 512 subcarrier non-ideal dispersion-compensated fiber optic communication systems. PM-OFDM is investigated as an alternative to AM-OFDM to alleviate the problem associated with amplitude-modulated signals in a nonlinear medium. The inherent dispersion compensation capability in OFDM (using a cyclic prefix) allows transmission over a link whose dispersion map is not exactly known. OFDM also mitigates the effects of dispersion slope in wavelength-division multiplexed (WDM) systems. Moreover, the overall dispersion throughout the transmission link may vary due to environmental effects and aging. OFDM is inherently tolerant to over- or under-compensation and dispersion slope mismatch. OFDM transmission over dispersive, non-dispersion managed fiber links using OFDM requires an overhead in excess of the maximum accumulated dispersion. Existing WDM systems usually employ periodic dispersion management. OFDM in these systems requires a smaller overhead. It is, however, more susceptible to nonlinearity due to the coherent beating of subcarriers after each dispersion-compensated span. The large variation in intensity associated with amplitude-modulated OFDM makes this modulation format more susceptible to nonlinear effects in fiber compared to phase-modulated signals. This holds true unless dispersion and EDFA noise lead to amplitude variations strong enough for PM-OFDM to be degraded by nonlinear effects as well. In conclusion OFDM is beneficial for non-ideal dispersion managed systems. PM-OFDM can further improve the performance
