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40-Gbit/s all-optical circulating shift register with an inverter.

We report what is believed to be the first demonstration of an all-optical circulating shift register using an ultrafast nonlinear interferometer with a polarization-insensitive semiconductor optical amplifier as the nonlinear switching element. The device operates at 40 Gbits/s, to our knowledge the highest speed demonstrated to date. Also, the demonstration proves the cascadability of the ultrafast nonlinear interferometric switch.