Noise figure is a measure of the degradation of the signal-to-noise ratio (SNR) as it passes through a device, such as an optical amplifier. It quantifies how much noise is added by the device compared to the ideal case where no noise is introduced. A lower noise figure indicates better performance, as it means that the device adds less noise relative to the signal, which is crucial for maintaining signal integrity in systems like wavelength division multiplexing.
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