Wavelength division multiplexing (WDM) refers to a technology that multiplexes number of optical carriers on a single optical fiber. This is achieved by using different wavelengths or colors of light (typically laser) used in optical fiber communication. Wavelength division multiplexers allow performing bidirectional communication on a single strand of fiber optics and helps in increasing the overall carrier capacity of the optical fiber. Multiplexing of different signals is accomplished by using a multiplexer at the transmitter end of the system. Wavelength division multiplexers are the electronic devices used to combine light signals coming from different optical fibers on a single optical fiber. This is achieved by using a coupler at the input of a wavelength division multiplexer. Wavelength division multiplexers split the white light passing through the optical fiber in different colors with different wavelengths. This ensures immunity to interference between different signals and constant power of the signals. WDMs are used to increase capacity of communication in different applications such as access, enterprise communication, backhaul, long-haul and metro networks.

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The most significant advantage of using wavelength division multiplexers in optical fiber communication is low cost per bit of transfer. Through WDM, data transfer capacity of over multiple terabits per second can be achieved for communication over thousands of kilometers. This highly encourages network service providers to equip their fiber optics network with WDMs. With increasing demand for networks with high data transfer speed and capacity, WDMs are expected to be widely adopted in optical fiber communication in near future. In addition, WDMs enable network service providers to increase the scalability of the optical fiber. In other words, WDMs create number of virtual fibers within the optical fiber and is regarded as the simplest way of capacity expansion. Use of WDMs allows network service providers to transmit multiple signals of data by simply differentiating between their wavelengths. This increases the capacity of network and can be used for number of different communication applications. Furthermore, growing adoption of fiber optics in communication is another significant factor expected drive the WDM market in near future

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