A method is provided for all-optical regeneration of intensity modulated optical signals. A DFB laser diode is selected such that it has a gain bandwidth comprising the signal wavelength, the signal wavelength being outside the stopband of the DFB laser diode. Furthermore, the DFB laser diode is selected such that it can have a bistable amplification characteristic for the signal wavelength showing a hysteresis with an ascending branch and a descending branch, the ascending branch located at a higher input power level than the descending branch. The DFB laser diode is driven such that it operates in the bistable amplification regime, the descending branch of the hysteresis curve located at an input power level above the lower power level of the optical signal pulses and the ascending branch of the hysteresis curve located at an input power level below the upper power level of the optical signal pulses.
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