The design and fabrication of a compact and low-cost 4×25-Gb/s transmitter optical sub-assembly (TOSA) and receiver optical sub-assembly (ROSA) using a hybrid integrated technique are reported. TOSA and ROSA are developed without ther-moelectric cooler for coarse wavelength division multiplexing applications. Physical dimension of the packaged optical sub-assembly is limited to 11.5 mm×5.4 mm×5.4 mm. The design of TOSA and ROSA is employed using a silica-based arrayed waveguide grating chip to select the specific channel wavelength at O-band. In TOSA, the wavelength of four 1.3-μm discrete directly modulated laser chips is well controlled based on the reconstruction equivalent chirp technique. In the back-to-back transmission test, bit error rates for all lanes of cascade of the TOSA and ROSA are small. A clear opening eye diagram is obtained.