Free Space Optical communication (FSO) is a wireless communication technology which uses light to transmit the data in free space. FSO has advantages like unlicensed spectrum and higher bandwidth. In this paper FSO system merits and demerits, challenges in FSO, and various channel models are discussed. To mitigate the turbulence in FSO the mitigation techniques like relaying, diversity schemes and adopting different modulation techniques used in different channels are discussed and its performance comparison is given. © 2017 Elsevier Ltd