A high data rate, high sensitivity, low power optical link using low-bandwidth components and low-bandwidth E/O drivers and receivers and method of building same. The method is based on the idea of making the optical part of the link look like a bandwidth limited lossy electrical channel, so that the powerful equalization methods used in the wireline electrical links can be applied to recover the transmitted data in a situation with low bandwidth and/or high loss and strong inter-symbol interference. Linear and non-linear optical channel components, E/O drivers and receivers can benefit from the apparatus and the methods of the invention.