Experiments on the use of nonlinear transformations and nonlinear techniques in the Fourier domain of optical processors for optical image processing will be carried out. Nonlinear transformation in the Fourier plane ca be very useful in a variety of applications such as pattern recognition, associative retrieval, image deconvolution, image enhancement, etc. By introducing nonlinear transformations in the Fourier domain, image detection processed can be significantly improved for the case of correlator based optical pattern recognition. Various type of architecture will be explored to implement nonlinear transformation at the Fourier plane.