We report about theoretical results and experiments, which led to the demonstration of optical bistability on the specially modified laser diode (LD) created on the double heterostructure Ga 1-x Al x Al/GaAs with saturable absorption section. To prove the bistability, the time method for bistability impulse verification (BIV) by bistable laser diode (BLD) was proposed. With the use of the BIV method, basic parameters of the hysterisis loop of the W-A characteristic samples of realized BLD were determined. Also the mathematic model of the W-A characteristic was derived, used for the simulation of the characteristic for the realized BLD. Element values of the electrical equivalent circuit of the BLD for small changes of signal were calculated for selected operating points of the simulated W-A characteristics. The dependency of bistability on the temperature is monitored by measuring the BLD W-A characteristic.