Abstract:In the simulation of Intensity Modulation-Direct Detection WDM Systems, when the dispersion and nonlinear effects play equally important roles, the intensity fluctuation caused by cross-phase modulation may be overestimated as a result of the improper step size. Therefore, the step size in numerical simulation should be selected to suppress false XPM intensity modulation (keep it much less than signal power). According to this criterion, the step size is variable along the fiber. For a WDM system, the step size depends on the channel separation. Different type of transmission fiber has different step size. In the split-step Fourier method, this criterion can reduce simulation time, and when the step size is bigger than 100 meters, the simulation accuracy can also be improved. This work is supported by Nation Nature Science Foundation of China (50278001) and the Science & Technology Cooperation Foundation of Nankai University, the Ministry of Education.