Data are presented demonstrating the operation of a current‐injection laser diode with embedded reflectors instead of etched or cleaved facets. The laser structure, grown by molecular beam epitaxy, uses AlAs‐GaAs superlattices SL’s in place of conventional AlxGa1−xAs cladding layers. The sample is patterned, etched, and Zn diffused to selectively disorder the SL cladding layers producing a ∼200×∼100 &mgr;m rectangular laser cavity embedded in the surrounding AlxGa1−xAs. Following Si3N4deposition and metallization, the diodes are cut (not cleaved) with intentionally damaged edges. These devices operate as lasers (77 K, pulsed operation) with a mode spacing corresponding to either the ∼100‐&mgr;m or the ∼200‐&mgr;m cavity length formed by the selective interdiffusion of the SL cladding layer. This embedded‐mirror laser structure may be useful in the development of optical integrated circuits by allowing semiconductor lasers to be monolithically integrated with other optical devices.