The influence of emitting diode (LED) treatments for 8 h per day on functional quality of three types of fresh-cut sweet peppers (yellow, red, and green) were investigated after 3, 7, 11, and 14 days postharvest storage on the market shelf at 7 °C. Red LED light (660 nm, 150 μmol m−2 s−1) reduced weight loss to commercially acceptable level levels (≤2.0%) in fresh-cuts of yellow and green sweet peppers at 7 and 11 d, respectively. Blue LED light (450 nm, 100 μmol m−2 s−1) maintained weight loss acceptable for marketing in red fresh-cut sweet peppers up to 11 d. Highest marketability with minimum changes in color difference (∆E) and functional compounds (total phenols, ascorbic acid content, and antioxidant activity) were obtained in yellow and green sweet pepper fresh-cuts exposed to red LED light up to 7 and 11 d, respectively, and for red sweet pepper fresh-cuts exposed to blue LED light for 11 d. Red LED light maintained the highest concentrations of β carotene, chlorophyll, and lycopene in yellow, green, and red sweet pepper fresh-cuts up to 7 d. Similarly, blue LED light showed the highest increase in lycopene concentrations for red sweet pepper fresh-cuts up to 7 d. Red LED (yellow and green sweet peppers) and blue LED (red sweet pepper) lights maintained phenolic compounds by increasing phenylalanine ammonia lyase activity. Thus, the results indicate a new approach to improve functional compounds of different types of fresh-cut sweet pepper.