Fujitsu and Mitsui announced today that they have established a new optical-device venture called QD Laser that will be producing quantum-dot lasers for optical telecommunication.

The quantum-dot technology has been developed by Fujitsu Laboratories in collaboration with Yasuhiko Arakawa?s research group at the University of Tokyo.

According to the companies, quantum dots, from which the new venture takes its name, are semiconductor particles that are a single nanometer in size. Quantum-dot laser structures have long been seen as the ultimate in semiconductor laser technology.

Compared to conventional semiconductor lasers, quantum-dot lasers feature higher performance in such aspects as temperature-independent operation, low power consumption, long-distance transmission, and high speed, the companies said in the press release.

Both companies expect quantum-dot lasers to become a core technology to realize high-performance light sources for optical telecommunication, for which data traffic is continuing to increase rapidly.

QD Laser will offer quantum-dot lasers to the optical telecommunication light source market, for use in optical access and optical LAN within buildings.

The two industrial giants are providing start-up funds of 290 million yen ($2.5 million) through their corporate venture capital funds, with Fujitsu set to own 61% of the company and Mitsui the remaining 39%.

QD Laser will be headed up by president and CEO Mitsuru Sugawara from Fujitsu Laboratories.