We propose and design a high-brightness, ultra-compact electrically pumped GaSb-based laser source of polarization-entangled photons generated by intracavity parametric down-conversion of lasing modes. We develop a nonperturbative quantum theory of parametric down-conversion of waveguide modes which takes into account the effects of modal dispersion, group and phase mismatch, propagation, dissipation, and coupling to noisy reservoirs. We provide convenient analytic expressions for interpreting experimental results and predicting the performance of monolithic quantum photonic devices based on nonlinear wave mixing of laser modes.
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