We investigate the possibilities of 40 and 4 x 40 Gb/s time division multip
lexing wavelength division multiplexing (TDM/WDM) return-to-zero (RZ) trans
mission over embedded standard single-mode fibers (SMF) at a transmission w
avelength of 1.55 mu m both experimentally and theoretically. Dispersion of
the SMF is compensated by a dispersion compensating fiber (DCF), Transmiss
ion over a span of 150 km of SMF in the single-channel case and of 100 km S
MF in the multichannel case are reported. Numerical calculations are employ
ed to investigate the possibility of cascading the spans both for single-ch
annel and multichannel transmission. For single-channel transmission, it is
shown that optimum performance is achieved with post-compensation of the D
CF, The input power at the SMF and DCF input have to be chosen carefully, F
or four channel transmission, the performance is mainly limited by residual
dispersion in the outermost wavelength channels. It is shown numerically t
hat improvement is achieved by employing the newest type DCF which also com
pensates the dispersion slope of the SMF. For a WDM channel separation of 2
nm no significant additional degradation due to cross-phase modulation (XP
M) or four-wave mixing is observed.