The transmission of information as optical signals encoded on light waves traveling through optical fibers and optical networks is increasingly moving to shorter and shorter distance scales. In the near future, optical networking is poised to supersede conventional transmission over electric wires and electronic networks for computer-to-computer communications, chip-to-chip communications, and even on-chip communications. The ever-increasing demand for faster and more reliable devices to process the optical signals offers new opportunities in developing all-optical signal processing systems (systems in which one optical signal controls another, thereby adding "intelligence" to the optical networks). All-optical switches, two-state and many-state all-optical memories, all-optical limiters, all-optical discriminators and all-optical transistors are only a few of the many devices proposed during the last two decades. The "all-optical" label is commonly used to distinguish the devices that do not involve dissipative electronic transport and require essentially no electrical communication of information. The all-optical transistor action was first observed in the context of optical bistability  and consists in a strong differential gain regime, in which, for small variations in the input intensity, the output intensity has a very strong variation. This analog operation is for all-optical input what transistor action is for electrical inputs.