Abstract: This paper presents measurement of third order intermodulation distortion and third order intercept (TOI) in a Fabry–Perot semiconductor laser lasing at 1550.3 nm when the laser is biharmonically bias-current modulated. Keeping the modulation current of one signal fixed, the third order intermodulation power at two different frequencies has been found to increase with the increase in second signal modulation power. There is an eventual crossover or tendency to crossover in the intermodulation characteristics when the modulation current amplitudes of the channels assume the same value. The TOI has been experimentally measured. The intermodulation power appearing at two different frequencies along with their signal power dependence and measurement of TOI constitute the outcome of this paper. The typical value of spurious-free dynamic range of the modulation scheme is 70 dB.