We generate a 105.7-Gb/s signal by directly modulating a 1.5-µm VCSEL with a 33.35-Gbaud 3-level signal and polarization multiplexing. By using digital coherent detection, we successfully transmit the 105.7-Gb/s line rate (88.10 Gb/s net bit rate) signal over 960-km standard single-mode-fiber (SSMF) at a 20% hard-decision forward-error correction (FEC) threshold, which is at bit-error ratio (BER) of 1.5 x 10(-2)