The stabilizing action of nonlinear gain on dispersion-managed soliton tran
smissions is investigated. By means of a proper combination of nonlinear ga
in and filtering, the background and amplitude instability introduced by lu
mped guiding filters can be controlled. Indeed, radiative background that m
ay not be separated from the signal when the average dispersion is close to
zero is shown to be suppressed. Taking advantage of the large tolerance wi
th respect to input energy variations, dispersion-managed solitons are foun
d to be stable after collisions among different frequencies when supported
by the same nonlinear gain element for all channels. This demonstrates the
feasibility of nonlinear gain for wavelength-division-multiplexed transmiss
ions and may open up the possibility of high-speed soliton transmission wit
h large tolerance with respect to power fluctuations and densely packed wav
elength channels. (C) 2000 Academic Press.