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A short pulse generator based on a commercially available bulk material electroabsorption modulator was experimentally demonstrated. By optimizing the length of the dispersion compensation fibre, nearly transform limited pulse was generated. There are a 2-ps-pulsed train with a timing jitter of 650 fs and a repetition rate of 10 GHz obtained with two-stage nonlinear compression. The quality of the pulse was further verified by 4 × 10 Gbit/s optical time-division-multiplexed communication system experiment in which a low demultiplexing power penalty of 0.3 dB was achieved.