Owing to the nonlinear effect of optical field-induced director reorientation, self-focusing of an optical beam can occur in nematic liquid crystals and an almost diffraction-compensated propagation can be observed with milliwatts of light power and propagation lengths of several millimeters. This opens the way for applications in all-optical signal handling and reconfigurable optical interconnections. Self-focusing of an optical beam in nematic liquid-crystal cells has been studied experimentally and by means of numerical simulation. The relationships between bias voltage, cell thickness and required optical power have been examined, thus allowing the determination of the most favorable conditions for soliton-like beam propagation.