Abstract-Due to the introduction of new broadband services, individual line data rates are expected to exceed 100 Gb/s in the near future. To operate at these high speeds, new optical signal processing techniques will have to be developed. This paper will demonstrate that two-photon absorption in a specially designed semiconductor microcavity is an ideal candidate for optical signal processing applications such as autocorrelation, sampling, and demultiplexing in high-speed wavelength-divisionmultiplexed (WDM) and hybrid WDM/optical time-divisionmultiplexed networks.