The physical layer of an optical line terminal (OLT) of an optical network is split across multiple fibers so that the OLT has a plurality of optical transceivers for respectively communicating across a plurality of optical fibers. Thus, each optical transceiver is in communication with a smaller number of optical network units (ONUs) relative to an embodiment for which a single optical transceiver is employed, thereby reducing the transmit power requirements of the optical network. Accordingly, less expensive optical components, such as lasers, can be used at the OLT and the ONUs. In addition, the split at the OLT is implemented digitally, and the digital components of the OLT are arranged such that various performance benefits are realized. As an example, the OLT may be configured such that data and/or overhead may be simultaneously transmitted in the upstream direction thereby increasing the upstream throughput and capacity of the optical network.