Study of the operating regime for all-optical passive 2R regeneration of dispersion-managed RZ data at 40 Gb/s using in-line NOLMs

In this letter, we numerically demonstrate that the use of inline nonlinear optical loop mirrors in strongly dispersion-managed transmission systems dominated by pulse distortion and amplitude noise can achieve all-optical passive 2R regeneration of a 40-Gb/s return-to-zero data stream. We define the tolerance limits of this result to the parameters of the input pulses.