New highly transparent liquid‐crystal light valves for the recording, storage, and display of high‐resolution graphic images in projection displays are described. Information is recorded in these light valves by anx‐ydeflected intensity‐modulated ir laser beam which locally heats visually transparent infrared absorbing electrodes. The resulting temporary heating of the cholesteric liquid crystal creates light‐scattering centers that remain stored until erased electrically. Resolution is 50 lines/mm over a 4×4‐cm area. Contrast is better than 10:1. Addressing speed is higher than 104picture elements/sec for a few mW of 1.06‐&mgr;m YAlG laser power.