Guided-wave and free-space optical interconnects are compared based on insertion loss, link efficiency, connection density, time delay, and power dissipation for three types of connection networks. Three types of free-space interconnect systems are analyzed that are representative of a wide variety of free-space systems: space-variant basis-set and space-invarient systems. Results indicate that the connection density of a space-variant free space system has a connection density roughly equivalent to a two level guided-wave system with a pitch of ~10 µm (for a 1-µm wavelength) and a core refractive index of 2.0. It is also shown that the connection density of basis-set and space-invariant free-space systems can be several orders of magnitude higher than fundamental limits on the connection density of dual-level guided-wave interconnect systems when large-scale highly connected networks are employed.