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Option 3 : QAM
Digital to Analog Modulation technique is as shown.
1) As shown, QAM is a mixture of both ASK and PSK.
2) QAM uses two carrier signals with the same frequency but with which are in quadrature. Quadrature here means out phase by 90°.
3) Since the two signals have the same frequency, they are detected using synchronous detection.
4) Hence, amplitude and the phase of the carrier frequency both vary with the message signal.
A constellation diagram of a QAM signal with 2 different amplitude levels and 8 different phases is shown:
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