The ADN2841 uses a unique control algorithm to control both average power and extinction ratio of the laser diode (LD) after initial factory set up. External component count and PCB area are low as both power and extinction ratio control are fully integrated. Programmable alarms are provided for laser fail (end of life) and laser degrade (impending fail). The ADN2841 has circuitry for a second monitor photodiode which enables DWDM wavelength control.