We propose a novel interaction-free scheme for all-optical switching which does not rely on the physical coupling between signal and control waves. The interaction-free nature of the scheme allows it to overcome the fundamental photon-loss limit imposed by the signal-pump coupling. The same phenomenon protects photonic-signal states from decoherence, making devices based on this scheme suitable for quantum applications. Focusing on waveguides, we provide device designs for traveling-wave and Fabry-Perot switches. In both designs, the performance is optimal when the signal switching is induced by coherent dynamical evolution. In contrast, when the switching is induced by a rapid dissipation channel, it is less efficient.

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