ect to discrete interfaces with the same performances. An estimate of the price of CWDM PICs with respect to the price of CWDM SFP optical inter- faces with the same performances is reported in Figure 10.2 [2]. Even a greater sparing is expected for DWDM transceivers. Next Generation Networking: Enabling Technologies, Architectures, and Performances Transceiver WDM PIC-RX Rx fiber Drivers and controls PIC-TX Tx fiber FIGURE 10.1 Functional scheme of a transceiver realized with a transmitting and a receiving PIC. From an experimental point of view, a 10 source 10 Gbit/s PIC has been not only realized also incorporated into a commercial system [3] demonstrating the feasibility of the technology. Integrated circuits, putting together optics and electronics, have been realized using HEMT transistors. The cost of the individual transistor is high due to its structure and the power consumption is much higher with respect to complementary metal oxide transistors (CMOSs). However if a circuit is integrated with a large number of other optical and elec- tronic components and produced in large volumes, it is possible that the overall cost reduces. All these elements, besides a great number of realizations of different components using this platform, tell us that from a technical point of view, optoelectronic integration suffi- ciently function rich to design network elements for the ODN can be carried out. FIGURE 10.2 Expected price reduction of interfaces using PICs with respect to discrete interfaces with the same Number of wavelengths performances. Telecommunication Networks Si 1998 FIGURE 10.3 Typical industrial yield for the CMOS technology ver- sus the area of the considered circuit at different years along the story of the CMOS industry. For each value of the considered die area, the value of the defects Si 1985 density for the integrated InP optoelectronics circuits Si 1975 in 2005 is shown. (After Joyner, C. et al., Current view of large scale photonic integrated circuits on indium phosphide, Optical Fiber Communi