This paper introduces a new two-code keying scheme for increasing the spectral efficiency (SE) of spectral-amplitude-coding optical code-division multiple-access (SAC-OCDMA) system. The analytical expression is derived for the SE of SAC-OCDMA system based on the proposed scheme utilizing multi-diagonal (MD) code. The theoretical results demonstrate that the suggested scheme has an improved SE performance over the conventional unipolar encoding with direct detection technique. This SE enhancement is verified in simulation experiments.
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