Volume holographic correlator allows simultaneously calculate the two-dimensional inner product between the input image and each stored image. We have recently experimentally implemented in VHC 4000 parallel correlation channels with better than 98% output accuracy in a single location in a crystal. The speckle modulation is used to suppress the sidelobes of the correlation patterns, allowing more correlation spots to be contained in the output plane. A modified exposure schedule is designed to ensure the hologram in each channel with unity diffraction efficiency. In this schedule, a restricted coefficient was introduced into the original exposure schedule to solve the problem that the sensitivity and time constant of the crystal will change as a time function when in high-capacity storage. An interleaving method is proposed to improve the output accuracy. By unifying the distribution of the input and stored image patterns without changing the inner products between them, this method could eliminate the impact of correlation pattern variety on calculated inner product values. Moreover, by using this method, the maximum correlation spot size is reduced, which decreases the required minimum safe clearance between neighboring spots in the output plane, allowing more spots to be parallely detected without crosstalk. The experimental results are given and analyzed.© (2007) COPYRIGHT SPIE--The International Society for Optical Engineering. Downloading of the abstract is permitted for personal use only.