A digital version of both amplitude and phase of a received optical is developed by employing direct differential detection in conjunction with digital signal processing. The signal is split into three copies. An intensity profile is conventionally obtained using one of the copies. Phase information is obtained by supplying each remaining copy to a respective one of a pair of optical delay interferometers that have orthogonal phase offsets, followed by respective balanced intensity detectors. The output of each of the balanced intensity detectors, and the intensity profile, are each converted to respective digital representations. Signal processing is used to develop the phase information from the digital representations of the output of the balanced intensity detector outputs.