Fifty years after the invention of the laser diode and fourty years after the report of the butterfly effect -i.e. the unpredictability of deterministic chaos, it is said that a laser diode behaves like a damped nonlinear oscillator. Hence no chaos can be generated unless with additional forcing or parameter modulation. Here we report the first counter-example of a free-running laser diode generating chaos. The underlying physics is a nonlinear coupling between two elliptically polarized modes in a vertical-cavity surface-emitting laser. We identify chaos in experimental time-series and show theoretically the bifurcations leading to single-and double-scroll attractors with characteristics similar to Lorenz chaos. The reported polarization chaos resembles at first sight a noise-driven mode hopping but shows opposite statistical properties. Our findings open up new research areas that combine the high speed performances of microcavity lasers with controllable and integrated sources of optical chaos.The discovery of deterministic chaos -i.e. the aperiodic deterministic dynamics of a nonlinear system showing sensitivity to initial conditions -has been a major paradigm shift overthrowing two centuries of Laplacian viewpoint of dynamical systems [1][2][3][4][5] . Looking into a system behavior with the use of chaos theory has helped to interpret and control many of such ordered or disordered behaviors in our present day life, such as the bifurcations leading to epilepsy and cancer 6 , the stabilization of cardiac arrhythmias 7 , and the improvement of complex behavioral patterns in robotics 8 .Soon after the invention of the laser, the possibility to observe light chaos raised attention. In 1975, Haken discovered an analogy between the Maxwell-Bloch equations for lasers and the Lorenz equations showing chaos 9 . The Maxwell-Bloch equations are three equations for the field E, the polarization P and the carrier inversion N, each with its own relaxation time. However, while in Lorenz equations the relaxation times of the dynamical variables are of similar order of magnitude, they may take very different values in lasers. If one variable relaxes much faster than the others, this variable is adiabatically eliminated, hence resulting in a reduced number of dynamical equations. Therefore, so-called class A (ex: He-Ne, Ar and Dye), class B (ex: Nd:YAG, CO2 and semiconductor) or class C (ex: NH3) lasers have dynamics governed either by a single equation for the field, two equations for the field and population inversion or the full set of equations, respectively. In class A or class B laser systems chaos cannot be observed unless one adds one or several independent control parameters 10 . Chaos has then been reported in, for example, free-running NH3 lasers 11 , He-Ne lasers with modulation of the external field 12 , CO2