Abstract: A system for transmitting pilot signals has first signal processing circuitry for generating a pilot signal at a transmitting unit. An MLO modulation circuit modulates the pilot signal using quantum level overlay modulation to apply at least one orthogonal function to the pilot signal. A transceiver transmits the modulated pilot signal from the transmitting unit over a pilot channel. The at least one orthogonal function applied to the pilot signal substantially reduces pilot channel contamination on the pilot channel from other pilot channels.