Neodymium-doped aluminum oxide films with a range of Nd 3+ concentrations are deposited on silicon wafers by reactive co-sputtering, and single-mode channel waveguides with various lengths are fabricated by reactive ion etching. Photoluminescence at 880, 1060, and 1330 nm from the Nd 3+ ions with a lifetime of 325 µs is observed. Internal net gain at 845-945 nm, 1064, and 1330 nm is experimentally and theoretically investigated under continuous-wave excitation at 802 nm. Net optical gain of 6.3 dB/cm at 1064 nm and 1.93 dB/cm at 1330 nm is obtained in a 1.4-cm-long waveguide with a Nd 3+ concentration of 1.68 × 10 20 cm −3 when launching 45 mW of pump power. In longer waveguides a maximum gain of 14.4 dB and 5.1 dB is obtained at these wavelengths, respectively. Net optical gain is also observed in the range 865-930 nm and a peak gain of 1.57 dB/cm in a short and 3.0 dB in a 4.1-cm-long waveguide is obtained at 880 nm with a Nd 3+ concentration of 0.65 × 10 20 cm −3 . By use of a rate-equation model, the gain on these three transitions is calculated, and the macroscopic parameter of energy-transfer upconversion as a function of Nd 3+ concentration is derived. The high internal net gain indicates that Al 2 O 3 :Nd 3+ channel waveguide amplifiers are suitable for providing gain in many integrated optical devices.