A method and structure for compensation techniques in coherent optical receivers. The present invention provides a coherent optical receiver with an improved 8×8 adaptive MIMO (Multiple Input, Multiple Output) equalizer configured within a digital signal processor (DSP) to compensate the effects of transmitter I/Q skew in subcarrier multiplexing (SCM) schemes. The 8×8 MIMO equalizer can be configured such that each of the 8 outputs is electrically coupled to 3 of 8 inputs, wherein each of the input-output couplings is configured as a filter. The method includes compensating for impairments to the digital conversion of an optical input signal via the 8×8 MIMO equalizer following other signal processing steps, such as chromatic dispersion (CD)/polarization-mode dispersion (PMD) compensation, carrier recovery, timing synchronization, and cycle slip correction.
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