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We investigate the feasibility of switching return-to-zero signals with 3-ps pulsewidth by byte-level parametric wavelength exchange (PWE) numerically and experimentally. Square-wave modulated pumps are used in PWE for pump gating. Simultaneous bit swapping for two signals at the same time slot is achieved. Error-free operation is achieved for both signal channels with ap3.5-dB power penalty at 10-9 bit-error rate.