In the scenario of downstream Passive Optical Networks (PON), we analyze through simulations and experiments a 100 Gbps/λ link using digital signal processing (DSP) over up to 50 km single mode fiber (SMF) in C-band. In particular, we propose chromatic dispersion digital pre-compensation (CD-DPC) and quaternary pulse amplitude modulation (PAM-4) levels optimization at the transmitter side (TX), and simple non-linear compensation (NLC) in combination with adaptive equalization (AEQ) at the receiver side (RX). Regarding NLC, we compare two approaches: a quadratic polynomial function and a square-root-like function respectively. In this paper, we analyze in detail the performances of four proposed options, namely equispaced PAM-4 levels without NLC (baseline case), equispaced PAM-4 levels in combination with NLC, optimized PAM-4 levels without NLC, and optimized PAM-4 levels in combination with NLC. We demonstrate through simulations and experiments that optimized PAM-4 levels can only offer limited enhancement when NLC is applied, and up to 3.3 dB sensitivity gain can be obtained thanks to NLC at RX when setting the optimum parameters, with respect to the baseline case.