One of the important characteristics of artificial neural networks is their capability for massive interconnection and parallel processing. Recently, specialized electronic neural network processors and VLSI neural chips have been introduced in the commercial market. The number of parallel channels they can handle is limited because of the limited parallel interconnections that can be implemented with onedimensional electronic wires. High-resolution pattern recognition problems can require a large number of neurons for parallel processing of an image. This paper describes a holographic optical neural network (HONN) that is based on high-resolution volume holographic materials and is capable of performing massive 3-D parallel interconnection of tens of thousands of neurons. A HONN with more than 16,000 neurons packaged in an attache case has been developed. Rotation-shift-scaleinvariant pattern recognition operations have been demonstrated with this system. System parameters such as the signal-to-noise ratio, dynamic range, and processing speed are discussed. © 1996 Society of PhotoOptical Instrumentation Engineers.Subject terms: optical neural networks; holographic optical neural networks; invariant pattern recognition; automatic target recognition; hybrid optical neural networks; compact neural network systems.Paper